QUESTION 1

The Dimitros Company records the following transactions during September 2018:

• Cash sales to customers totaling $5,800.
• Sales to customers on credit cards totaling $18,800. The average credit card fee is 3.0%.
• A $2,000 sale on account to a long-time customer with the terms 2/10, n/30. The sale is made on September 5. The customer pays the invoice on September 14.
• A customer returns product they had purchased last month for $500. Dimitros accepts the return and gives the customer a cash refund.

Calculate the following amounts:

1. Service charge expense for credit card sales
2. Sales discount for sales on account
3. Sales returns
4. Gross sales revenue
5. Net sales revenue
6. Net cash collected from sales