Question

Levine Company uses the perpetual inventory system. 8 Sold merchandise for $7,400 (that had cost $5,469) and accepted the custoner's Suntrust Bank Card. Suntrust charges a 4% fee. 12 Sold nerchandise for $3,800 (that had cost $2,462) and accepted the custoner's Continental Card. Continental charges a 2.5% fee. Apr. Prepare journal entries to record the above credit card transactions of Levine Company. (Round your answers to the nearest whole dollar amount.) View transaction list Journal entry worksheet < 1 3 4 Sold merchandise for $7,400 and accepted the customer's Suntrust Bank Card. Suntrust charges a 4% fee. Note: Enter debits before credits. Date General Journal Debit Credit Apr 08 Record entry Clear entry View general journal

Answer 1

S.No	Date	General Journal	Debit	Credit
1	Apr 08	Cash	$7104
		Credit Card expense ($7400 * 4%)	$296
		Sales		$7400
	Apr 08	Cost of goods sold	$5469
		Merchandise Inventory		$5469
2	Apr 12	Account receivable-Continental	$3705
		Credit card expense ($3800 * 2.5%)	$95
		Sales		$3800
	Apr 12	Cost of goods sold	$2462
		Merchandise Inventory		$2462