Question
Presented below are two independent situations. (a) On March 3, Kitselman Appliances sells $ 667,200 of its receivables to Blossom Inc. Blossom assesses a finance
Presented below are two independent situations.
(a) On March 3, Kitselman Appliances sells $ 667,200 of its receivables to Blossom Inc. Blossom assesses a finance charge of 3% of the amount of receivables sold. Prepare the entry on Kitselman Appliances books to record the sale of the receivables.
(b) On May 10, Fillmore Company sold merchandise for $ 13,000 and accepted the customers America Bank MasterCard. America Bank charges a 2% service charge for credit card sales. Prepare the entry on Fillmore Companys books to record the sale of merchandise.
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Accounting For Managers And Entrepreneurs
Authors: Charles T. Horngren
9th Edition
1323167897, 9781323167892
