Ask Question
3 July, 01:00

A customer purchased a $2,000 item at appliance world, paying with a credit card. appliance world is charged a 2% fee by the credit card company. when recording this sale, appliance world would:

+5
Answers (1)
  1. 3 July, 01:02
    0
    They will make an entry that is a debit to Cash and Credit Card Expense and a credit to Sales.

    The first step is to calculate how much the credit card expense will be. $2,000 x. 02 = $40.

    Knowing that the credit card expense is $40, Appliance World will record an entry that is a debit to Cash for $1,960, a debit to Credit Card Expense for $40 and a credit to Sales for $2,000.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question 👍 “A customer purchased a $2,000 item at appliance world, paying with a credit card. appliance world is charged a 2% fee by the credit card ...” in 📗 Business if the answers seem to be not correct or there’s no answer. Try a smart search to find answers to similar questions.
Search for Other Answers