The following are two independent situations. (a) On April 2, Julia Elston uses her JCPenney Company credit card to purchase merchandise from a JCPenney store for $1,300. On May 1, Elston is billed for the $1,300 amount due. Elston pays $500 on the balance due on May 3. Elston receives a bill dated June 1 for the amount due, including interest at 3% per month on the unpaid balance as of May 3. Prepare the entries on JCPenney Co.’s books related to the transactions that occurred on April 2, May 3, and June 1. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount (b) On July 4, Sheffield Restaurant accepts a Visa card for a $300 dinner bill. Visa charges a 4% service fee. Prepare the entry on Sheffield books related to this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount

The following are two independent situations. (a) On April 2, Julia Elston uses her JCPenney Company credit card to purchase merchandise from a JCPenney store for $1,300. On May 1, Elston is billed for the $1,300 amount due. Elston pays $500 on the balance due on May 3. Elston receives a bill dated June 1 for the amount due, including interest at 3% per month on the unpaid balance as of May 3. Prepare the entries on JCPenney Co.’s books related to the transactions that occurred on April 2, May 3, and June 1. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.) Date Account Titles and Explanation Debit Credit choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount choose a transaction date Apr. 2May 1May 3June 1July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount enter a credit amount (b) On July 4, Sheffield Restaurant accepts a Visa card for a $300 dinner bill. Visa charges a 4% service fee. Prepare the entry on Sheffield books related to this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually.) Date Account Titles and Explanation Debit Credit July 4 enter an account title enter a debit amount enter a credit amount enter an account title enter a debit amount

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

The following are two independent situations.

(a)

On April 2, Julia Elston uses her JCPenney Company credit card to purchase merchandise from a JCPenney store for $1,300. On May 1, Elston is billed for the $1,300 amount due. Elston pays $500 on the balance due on May 3. Elston receives a bill dated June 1 for the amount due, including interest at 3% per month on the unpaid balance as of May 3. Prepare the entries on JCPenney Co.’s books related to the transactions that occurred on April 2, May 3, and June 1. (Credit account titles are automatically indented when amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)

Date	Account Titles and Explanation	Debit	Credit
choose a transaction date Apr. 2May 1May 3June 1July 4	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Apr. 2May 1May 3June 1July 4	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount
choose a transaction date Apr. 2May 1May 3June 1July 4	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount	enter a credit amount

(b)

On July 4, Sheffield Restaurant accepts a Visa card for a $300 dinner bill. Visa charges a 4% service fee. Prepare the entry on Sheffield books related to this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
July 4	enter an account title	enter a debit amount	enter a credit amount
	enter an account title	enter a debit amount

(a)
On April 2, Julia Elston uses her JCPenney Company credit card to purchase merchandise from a JCPenney store for $1,300. On
May 1, Elston is billed for the $1,300 amount due. Elston pays $500 on the balance due on May 3. Elston receives a bill dated June 1
for the amount due, including interest at 3% per month on the unpaid balance as of May 3. Prepare the entries on JCPenney Co's
books related to the transactions that occurred on April 2, May 3, and June 1. (Credit account titles are automatically indented when
amount is entered. Do not indent manually. Record journal entries in the order presented in the problem.)
Date
Account Titles and Explanation
Debit
Credit

(b)
On July 4, Sheffield Restaurant accepts a Visa card for a $300 dinner bill. Visa charges a 4% service fee. Prepare the entry on
Sheffield books related to this transaction. (Credit account titles are automatically indented when amount is entered. Do not indent
manually.)
Date Account Titles and Explanation
Debit
Credit
July 4

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