Question

Mayfair Co. allows select customers to make purchases on credit. Its other customers can use either of two credit cards: Zisa or Access. Zisa deducts a 2.5% service charge for sales on its credit card. Access deducts a 1.5% service charge for sales on its card. Mayfair completes the following transactions in June.

June		4		Sold $600 of merchandise on credit (that had cost $300) to Natara Morris.
		5		Sold $8,000 of merchandise (that had cost $4,000) to customers who used their Zisa cards.
		6		Sold $5,642 of merchandise (that had cost $2,821) to customers who used their Access cards.
		8		Sold $4,780 of merchandise (that had cost $2,390) to customers who used their Access cards.
		13		Wrote off the account of Abigail McKee against the Allowance for Doubtful Accounts. The $656 balance in McKee’s account stemmed from a credit sale in October of last year.
		18		Received Morris’s check in full payment for the purchase of June 4.

Answer 1

Solution  

Date	General Journal	Debit	Credit
4-Jun	Accounts receivable—N. Morris	600
	Sales		600
4-Jun	Cost of goods sold	300
	Merchandise inventory		300
5-Jun	Cash	7,800
	Credit card expense	200
	Sales		8,000
5-Jun	Cost of goods sold	4,000
	Merchandise inventory		4,000
6-Jun	Accounts receivable—Access	5,557
	Credit card expense	85
	Sales		5,642
6-Jun	Cost of goods sold	2,821
	Merchandise inventory		2,821
8-Jun	Accounts receivable—Access	4,708
	Credit card expense	72
	Sales		4,780
8-Jun	Cost of goods sold	2,390
	Merchandise inventory		2,390
10-Jun	No journal entry required
13-Jun	Allowance for doubtful accounts	656
	Accounts receivable—A. McKee		656
17-Jun	Cash (5557+4708)	10,265
	Accounts receivable—Access		10,265
18-Jun	Cash	591
	Sales discounts (600*1.5%)	9
	Accounts receivable—N. Morris		600

Kindly give thumbs up if u like my answer....Thanks!!!