Luna Company accepted credit cards in payment for $6,000 of services performed during July 2018. The...
Luna Company accepted credit cards in payment for $6,000 of services performed during July 2018. The credit card company charged Luna a 4 percent service fee; it paid Luna as soon as it received the invoices.
Required
Based on this information alone, what is the amount of net income earned during the month of July?
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Luna Company accepted credit cards in payment for $6,000 of
services performed during July 2018. The...
5 Luna Company accepted credit cards in payment for $6,000 of services performed during July Year 1. The credit c...
5 Luna Company accepted credit cards in payment for $6,000 of services performed during July Year 1. The credit card company charged Luna a 4 percent service fee; it patd Luna as soon as it recetved the invoices. Required a. Prepare the general journal entry to record the service revenue. (If no entry Is requlred for a transaction/event, select "No Journal entry required" In the first account fleld.) 2.5 points Skipped View transaction list Book Journal entry worksheet A Print...
Luna Company accepted credit cards in payment for $6,500 of services performed during July Year 1....
Luna Company accepted credit cards in payment for $6,500 of services performed during July Year 1. The credit card company charged Luna a 1.50 percent service fee; it paid Luna as soon as it received the invoices. Required a. Prepare the general journal entry to record the service revenue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to nearest whole dollar.) View transaction list Journal entry worksheet...
Levine Company uses the perpetual inventory system and allows customers to use two credit cards in...
Levine Company uses the perpetual inventory system and allows customers to use two credit cards in charging purchases. With the Suntrust Bank Card, Levine receives an immediate credit to its account when it deposits sales receipts. Suntrust assesses a 4% service charge for credit card sales. The second credit card that Levin accepts is Continental Card. Levin sends its accumulated receipts to Continental on a weekly basis and is paid by Continental a week later. Continental assesses a 2.5% charge...
Why is it generally beneficial for a business to accept major credit cards as payment for...
Why is it generally beneficial for a business to accept major credit cards as payment for goods and services even when the fee charged by the credit card company is substantial? And what type of costs do businesses avoid when they accept major credit cards as compared to handling credit sales themselves? Think of a business of your choice, Consider yourself running a business of your choice. Tell everyone what business it is, and how t do you think accepting credit...
Ultra Day Spa provided $89,850 of services during Year 1. All customers paid for the services with credit cards. Ultra s...
Ultra Day Spa provided $89,850 of services during Year 1. All
customers paid for the services with credit cards. Ultra submitted
the credit card receipts to the credit card company immediately.
The credit card company paid Ultra cash in the amount of face value
less a 1 percent service charge.
Required
a. Show the credit card sales (Event 1) and the
subsequent collection of accounts receivable (Event 2) in a
horizontal statements model like the one shown next. In the...
On October 1, the company received a $5,400 advance payment on services to be performed for...
On October 1, the company received a $5,400 advance payment on services to be performed for one year. The services began immediately. The adjusting entry on December 31 needed for this event would include a: credit to Unearned Fees for $1,350 debit to Unearned Fees for $1,350 debit to Unearned Fees for $1,800 debit to Fees Earned for $5,400
The following transactions occurred during July: 1. Received $900 cash for services provided to a customer...
The following transactions occurred during July:1. Received $900 cash for services provided to a customer during July.2. Received $2,200 cash investment from Bob Johnson, the owner of the business.3. Received $750 from a customer in partial payment of his account receivable which arose from sales in June.4. Provided services to a customer on credit, $375.5. Borrowed $6,000 from the bank by signing a promissory note.6. Received $1,250 cash from a customer for services to be performed next year.What was the...
The following facts relate to gift cards sold by Sunbru Coffee Company during 2018. Sunbru’s fiscal...
The following facts relate to gift cards sold by Sunbru Coffee Company during 2018. Sunbru’s fiscal year ends on December 31. (a.) In October 2018, sold $2,100 of gift cards, and redeemed $410 of those gift cards. (b.) In November 2018, sold $3,100 of gift cards, and redeemed $1,310 of October gift cards and $610 of November gift cards. (c.) In December 2018, sold $2,100 of gift cards, and redeemed $110 of October gift cards, $1,100 of November gift cards,...
Kolton Company closes its books on its July 31 year-end. The company does not make entries...
Kolton Company closes its books on its July 31 year-end. The company does not make entries to accrue for interest except at its year-end. On June 30, the Notes Receivable account balance is $23,800. Notes Receivable include the following. Date Maker Face Value Term Maturity Date Interest Rate April 21 Booth Inc. $6,000 90 days July 20 8% May 25 Manning Co. 7,800 60 days July 24 10% June 30 ANF Corp. 10,000 6 months December 31 6% During July,...
FO P2-67B (similar to) During the first month of operations (July 2018), Stein Music Services Corporation...
FO P2-67B (similar to) During the first month of operations (July 2018), Stein Music Services Corporation completed the following selected transaction Click the icon to view the transaction data) Read the requirements Requirement 1. Record each transaction directly in the Taccounts without using jumal. Use the letters to identify the transaction. Determine the ending balance in each account Enter each transaction. Then calculate the ending balance for each account by selecting tal on the appropriate side of the count and...
5 Luna Company accepted credit cards in payment for $6,000 of services performed during July Year 1. The credit card company charged Luna a 4 percent service fee; it patd Luna as soon as it recetved the invoices. Required a. Prepare the general journal entry to record the service revenue. (If no entry Is requlred for a transaction/event, select "No Journal entry required" In the first account fleld.) 2.5 points Skipped View transaction list Book Journal entry worksheet A Print...
Luna Company accepted credit cards in payment for $6,500 of services performed during July Year 1. The credit card company charged Luna a 1.50 percent service fee; it paid Luna as soon as it received the invoices. Required a. Prepare the general journal entry to record the service revenue. (If no entry is required for a transaction/event, select "No journal entry required" in the first account field. Round your answers to nearest whole dollar.) View transaction list Journal entry worksheet...
Levine Company uses the perpetual inventory system and allows customers to use two credit cards in charging purchases. With the Suntrust Bank Card, Levine receives an immediate credit to its account when it deposits sales receipts. Suntrust assesses a 4% service charge for credit card sales. The second credit card that Levin accepts is Continental Card. Levin sends its accumulated receipts to Continental on a weekly basis and is paid by Continental a week later. Continental assesses a 2.5% charge...
Ultra Day Spa provided $89,850 of services during Year 1. All
customers paid for the services with credit cards. Ultra submitted
the credit card receipts to the credit card company immediately.
The credit card company paid Ultra cash in the amount of face value
less a 1 percent service charge.
Required
a. Show the credit card sales (Event 1) and the
subsequent collection of accounts receivable (Event 2) in a
horizontal statements model like the one shown next. In the...
On October 1, the company received a $5,400 advance payment on services to be performed for one year. The services began immediately. The adjusting entry on December 31 needed for this event would include a: credit to Unearned Fees for $1,350 debit to Unearned Fees for $1,350 debit to Unearned Fees for $1,800 debit to Fees Earned for $5,400
FO P2-67B (similar to) During the first month of operations (July 2018), Stein Music Services Corporation completed the following selected transaction Click the icon to view the transaction data) Read the requirements Requirement 1. Record each transaction directly in the Taccounts without using jumal. Use the letters to identify the transaction. Determine the ending balance in each account Enter each transaction. Then calculate the ending balance for each account by selecting tal on the appropriate side of the count and...
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