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Problem 5 - 2 A ( Algo ) Record transactions related to credit sales and contra revenues ( LO 5 - 1 , 5 -

Problem 5-2A (Algo) Record transactions related to credit sales and contra revenues (LO5-1,5-2)
Adventure Fishing provides guided fishing tours. The company charges $170 per person but offers a 20% discount to parties of four or more. Consider the following transactions during the month of May.
May 2 Charlene books a fishing tour with Adventure Fishing for herself and four friends at the group discount price ($680= $136\times 5). The tour is scheduled for May 7.
May 7 The fishing tour occurs. Adventure Fishing asks that payment be made within 30 days of the tour and offers a 6% discount for payment within 15 days.
May 9 Charlene is upset that no one caught a single fish and asks management for a discount. Adventure Fishing has a strict policy of no discounts related to number of fish caught.
May 15 Upon deeper investigation, management of Adventure Fishing discovers that Charlenes tour was led by a new guide who did not take the group to some of the better fishing spots. In concession, management offers a sales allowance of 40% of the amount due.
May 20 Adventure Fishing receives the amount owed by Charlene.
Required:
1. Record the necessary transaction(s) for Adventure Fishing on each date.
2. Show how Adventure Fishing would present net revenues in its income statement.

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