The Tin Roof accepts cash, personal checks, and two credit cards when customers buy merchandise. With the Great American Bank Card, The Tin Roof receives an immediate deposit in its checking account when credit card sales slips are deposited at the bank. The bank charges a 4% fee. With the United Merchants Card, The Tin Roof mails the credit card sales slips to United Merchants' regional processing center each day. United Merchants accumulates these slips for three days and then mails a check to The Tin Roof, after deducting a 3% fee. Prepare journal entries to record the following:

a. Sales for March 15 were as follows: Cash and checks $1,760 Great American Bank Card (Deposited at the end of the day) 2,000 United Merchants Card (Mailed at the end of the day) 1,500 $5,260 b. Received a check from United Merchants on March 20 for: $7,888

Mar.15 Cash Answer

Incorrect

Mark 0.00 out of 1.00

Answer

Correct

Mark 1.00 out of 1.00

Accounts Receivable - United Merchants Answer

Incorrect

Mark 0.00 out of 1.00

Answer

Correct

Mark 1.00 out of 1.00

Answer

CashAccounts Receivable - United MerchantsCredit Card Fee ExpenseSales RevenueCorrect

Mark 1.00 out of 1.00

Answer

Incorrect

Mark 0.00 out of 1.00

Answer

Correct

Mark 1.00 out of 1.00

Answer

CashAccounts Receivable - United MerchantsCredit Card Fee ExpenseSales RevenueCorrect

Mark 1.00 out of 1.00

Answer

Correct

Mark 1.00 out of 1.00

Answer

Correct

Mark 1.00 out of 1.00

To record cash and credit card sales.