Supply Club, Inc., sells a variety of paper products, office supplies, and other products used by businesses and individual consumers.

During July 2021 it started a loyalty program through which qualifying customers can accumulate points and redeem those points for discounts on future purchases. Redemption of a loyalty point reduces the price of one dollar of future purchases by 20% (equal to 20 cents). Customers do not earn additional loyalty points for purchases on which loyalty points are redeemed. Based on past experience, Supply Club estimates a 60% probability that any point issued will be redeemed for the discount During July 2021, the company redeemed 12,600 points and sold additional product of $157,500, so it recorded $170,100 of revenue. The aggregate stand-alone selling price of the purchased products is $170,100. Seventy percent of sales were cash sales, and the remainder were credit sales.

Required:

1. & 2. Prepare Supply Club's journal entry to record July and August sales. During August, customers redeem loyalty points on $75,600 of merchandise. Seventy-five percent of those sales were for cash, and the remainder were credit sales. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first account field.)

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General

Supply Club, Inc, sells a variety of paper products, office supplies, and other products used by businesses and individual consumers During July 2021 it started a loyalty program through which qualifying customers can accumulate points and redeem those points for discounts on future purchases. Redemption of a loyalty point reduces the price of one dollar of future purchases by 20% (equal to 20 cents). Customers do not earn additional loyalty points for purchases on which loyality points are redeemed. Based on past experienc Supply Club estimates a 60% probability that any point issued will be redeemed for the discount During July 2021 , the company redeemed 12,600 points and sold additional product of $157,500, so it recorded $170,100 of revenue. The aggregate stand-alone selling price of the purchased products is $170,100. Seventy percent of sales were cash sales, and the remainder were credit sales. Required: 1. \& 2. Prepare Supply Club's joumal entry to record July and August sales. During August, customers redeem loyalty points on $75,600 of merchandise. Seventy-five percent of those sales were for cash, and the remainder were credit sales. (Do not round intermediate calculations. If no entry is required for a transaction/event, select "No journal entry required" in the first occount field.) Supply Club, Inc, sells a variety of paper products, office supplies, and other products used by businesses and individual consumers. During July 2021 it started a loyalty program through which qualifying customers can accumulate points and redeem those points for discounts on future purchases. Redemption of a loyalty point reduces the price of one dollar of future purchases by 20% (equal to 20 cents). Customers do not earn additional loyalty points for purchases on which loyalty points are redeemed. Based on past experience, Supply Club estimates a 60% probability that any point issued will be redeemed for the discount. During July 2021 , the company redeemed 12,600 points and sold additional product of $157,500, so it recorded $170,100 of revenue. The aggregate stand-alone selling price of the purchased products is $170,100. Seventy percent of sales were cash sales, and the remainder were credit sales, Required: 1. & 2. Prepare Supply Club's journal entry to record July and August sales. During August, customers redeem loyalty points on $75,600 of merchandise. Seventy-five percent of those sales were for cash, and the remainder were credit sales. (Do not round intermediate calculations. If no entry is required for o transoction/event, select "No journal entry required" in the first account field.)