Mayfair Co. allows select customers to make purchases on credit. Its other custo
ID: 2407325 • Letter: M
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 5.5% service charge for sales on its credit card. Access deducts a 45% service charge for sales on its card. Mayfair completes the following transactions in June. June 4 Sold $700 of merchandise on credit (that had cost $280) to Natara Morris. s Sold $8,600 of merchandise (that had cost $3,440) to customers who used their Zisa cards. 6 Sold $5,998 of merchandise (that had cost $2,399) to customers who used their Access cards. 8 Sold $4,648 of merchandise (that had cost $1,856) to customers who used their Access cards. 13 Wrote off the account of Abigail McKee against the Allowance for Doubtful Accounts. The $360 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. Required Prepare journal entries to record the preceding transactions and events. (The company uses the perpetual inventory system.) (If na entry is required for a trensaction/event, select "No journal entry required" in the first account field) View transaction list Journal entry worksheet 10 Sold $700 of merchandise on credit to Natara Morris. 1 of 4 l Next> ?? o searchExplanation / Answer
Solution for First Question:-
As per Chegg policy only first question can be solved
Journal Entry Date Description Debit Credit Jun-04 Account receivable – N Morris $700 Sales $700 To Record Sales Cost of goods sold $280 Merchandise inventory $280 To Record Cost of Goods Sold Jun-05 Cash $8,127.00 Credit card expense ($8600X 5.5%) $473.00 Sales $8,600 To Record sale made through ZISA Card Cost of goods sold $3,440 Merchandise inventory $3,440 To Record Cost of Goods Sold Jun-06 Account receivable - Access $5,728.09 Credit card expense ($5998X4.5%) 269.91 Sales $5,998 To Record sale made through Access Card Cost of goods sold 2,399 To Merchandise inventory $2,399 To Record Cost of Goods Sold Jun-08 Account receivable - Access $4,611.60 Credit card expense ($4640X4.5%) 208.8 To Sales $4,640 To Record sale made through Access Card Cost of goods sold $1,856 To Merchandise inventory $1,856 To Record Cost of Goods Sold Jun-13 Allowance for doubtful accounts $360 To Account receivable $360 Jun-18 Cash $700 Account receivable $700 To Record Cash Received from Customer