Newland Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July 1. Citibank charges 4% for its credit card use. The entry to record this transaction by Newland Retailers will include a credit to Sales of $75,000 and a debit(s) to   Question 16 options:   A)  Accounts Receivable $75,000   B)  Cash $72,000 and Service Charge Expense $3,000   C)  Cash $72,000 and Interest Expense $3,000   D)  Accounts Receivable $72,000 and Service Charge Expense $3,000

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Newland Retailers accepted $75,000 of Citibank Visa credit card charges for merchandise sold on July 1. Citibank charges 4% for its credit card use. The entry to record this transaction by Newland Retailers will include a credit to Sales of $75,000 and a debit(s) to

 

Question 16 options:

 

A) 

Accounts Receivable $75,000

 

B) 

Cash $72,000 and Service Charge Expense $3,000

 

C) 

Cash $72,000 and Interest Expense $3,000

 

D) 

Accounts Receivable $72,000 and Service Charge Expense $3,000

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