Saved

Luna Company accepted credit cards in payment for $$6,000$ of services performed during July Year $1.$ The credit card company charged Luna a $4$ percent service fee; it paid Luna as soon as it received the invoices.

$2$ points

Sklpped

References

Required

a$.$ Prepare the general journal entry to record the service revenue.

b$.$ Prepare the general journal entry for the collection of the receivable from the credit card company.

c$.$ Based on this information alone, what is the amount of net income earned during the month of July?

Complete this question by entering your answers in the tabs below.

Prepare the general journal entry to record the service revenue. $($If no entry is required for a transaction$/$event$,$ select $"$No journal entry required" in the first account field.$)$

Journal entry worksheet

A

Record service revenue on credit card payment and credit card expenses.

Note: Enter debits before credits.

$\backslash$table$[[$Transaction$,$General Journal,Debit,Credit$],[1,$Accounts receivable,$-,5,760,],[,$Credit card expense,,$240,],[,$Service revenue,,,$6,000],[,,,,],[,,,,],[,,,,]]$