Tecom accepts the NOVA credit card for credit card sales. Tecom sends credit card receipts to NOVA on a weekly basis. NOVA charges Tecom a 2% fee. Tecom usually receives payment from NOVA within a week. Prepare entries in general journal form to record the following transactions of Tecom involving the NOVA credit card.
March 11Sold merchandise for $4,500 to customers who use the NOVA credit card and deposited the credit card receipts.
March 20 Received cash proceeds less the service charge for the March 14 deposit to NOVA