Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Travel Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Sandhill Company employees. The total cruise package price to Sandhill Company

image text in transcribed

Travel Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Sandhill Company employees. The total cruise package price to Sandhill Company employees is $80,000. Travel Inc. receives a commission of 6% of the total price. Travel Inc. therefore remits $75,200 to ShipAway. Prepare the journal entry to record (1) the receipt of payment of $80,000 from employees for the cruise packages and (2) the remittance and revenue recognized by Travel Inc. on this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually. If no entry is required, select "No entry" for the account titles and enter O for the amounts.) Sr. No. Account Titles and Explanation 1. 2. Debit Credit

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Accounting Business Reporting For Decision Making

Authors: Jacqueline Birt, Keryn Chalmers, Albie Brooks, Suzanne Byrne, Judy Oliver

4th Edition

978-0730302414, 0730302415

More Books

Students also viewed these Accounting questions

Question

Will something truly bad happen if I dont follow this value?

Answered: 1 week ago