Question

Journalize all entries required for SpeedySpeedy Running Shoes. ​(Record debits​ first, then credits. Select the explanation on the last line of the journal entry​ table.)

Speedy Running Shoes reports the following: (Click the icon to view the transaction information.) Journalize all entries required for Speedy Running Shoes (Record debits first, then credits. Select the explanation on the last line of the journal entry table.) Mar. 4, 2018: Recorded credit card sales of $145,000, net of processor fee of 1%. Ignore Cost of Goods Sold. (Prepare a single compound journal entry.) Date Accounts and Explanation Debit Credit 2018 Mar. 1 Mar. 15, 2018: Recorded Explorer credit card sales of $82,000. Processor charges a 2% fee. Explorer charges the fee at the end of the month, therefore Speedy uses the gross method for these credit card sales. Ignore Cost of Goods Sold. Date Accounts and Explanation Debit Credit 2018 Mar. 15

Answer 1

Date	Account	Debit	Credit
4-Mar	cash A/c	143,535.35
	Debit card expense A/c	1,464.65
	To sales A/c		145000
(being the sale recorded along with discount with immediate payment.)
15-Mar	Accounts recievable	82000
	To sales A/c		82000
(being gorss sale recorded wherein the processing fee is collected at the end of the month)
31-Mar	Cash A/c	80360
	Transaction fee	1640
	To accounts recievable		82000
	Being the processing fee collected at the end of the month along with payment
	Alternatively Where the payment was not collected at the end of the month
31-Mar	Transaction fee A/c	1640
	To accounts recievable		1640
	In gross method, sales are recorded at gross price i.e, no dcsount is recorded