Hi expert please give me answer general accounting The local Japanese-style steakhouse expects sales to be $500,000 in January.The average restaurant bill is $50. Only 25% of restaurant bills are paid in cash,while 70% are paid with credit cards and 5% are paid with debit cards. Thetransaction fees charges by the credit and debit card issuers are as follows:Credit cards: $0.50 per transaction + 2% of the amount chargedDebit cards: $0.22 per transaction + 0.05% of the amount chargedRequirementsa. How much of the total sales revenue is expected to be paid with cash?b. How many customer transaction does the company expect in January?c. How much of the total sales revenue is expected to be paid with credit cards?d. How many customer transactions will be paid for by customers using creditcards?

Step 1: Define Sales revenueSales revenue represents the total value of goods and services including…

Answered: The local Japanese-style steakhouse…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter9: Accounting For Receivables

Section: Chapter Questions

Problem 4Q: American Signs allows customers to pay with their Jones credit card and cash. Jones charges American...

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The Red Fusion, a local Thai restaurant, expects sales to be $770,000 in January. Its average customer restaurant bill is $55. Only 40% of the restaurant bills are paid with cash; 30% are paid with credit cards and 30% with debit cards. The transaction fees charged by the credit and debit card issuers are as follows: Credit cards: $0.50 per transaction + 3% of the amount charged Debit cards: $0.40 per transaction + 2% of the amount charged Read the requirements. Requirement 1. How much of the total sales revenue is expected to be paid in cash? $ 308,000. The total sales revenue expected to be paid in cash is Requirement 2. How many customer transactions does the company expect in January? 14,000 (...) In January, the number of transactions the company expects is Requirement 3. How much of the total sales revenue is expected to be paid with credit cards? The total sales revenue expected to be paid with credit cards is $ 231,000 Requirement 4. How many customer transactions will be paid…
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A credit card company is studying its late fee policy. The company has two types of customers: revolvers and transactors. It has 30% revolvers and 70% transactors. The 21. balance carried by each type of customer is shown below: Balance, $ 2000 4000 6000 Revolver probability 0.2 0.3 0.5 Transactor probability 0.5 0.4 0.1 When late fees are assessed, customers call and request a reversal. The policy is to allow revolvers to get a refund of the fees, and to deny refunds to transactors. When denied refunds, 30% of accounts close their accounts within a year, while 20% of the others whose fees were returned also close their accounts (perhaps they are still unhappy). If you start with 20 accounts (all of whom are assessed late fees), simulate the total balance at the end of the year.
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Kent Corner Shoppe is a local convenience store with the following information: October sales were $250,000. Sales are projected to go up by 12% in November and another 30% in December and then return to the October level in January. 20% of sales are made in cash, while the remaining 80% are paid by credit or debit cards. The credit card companies and banks (debit card issuers) charge a 2% transaction fee and deposit the net amount (sales price less the transaction fee) in the store’s bank account daily. Kent Corner Shoppe’s gross profit is 25% of its sales revenue. For the next several months, the store wants to maintain an ending merchandise inventory equal to $15,000+15%$15,000+15% of the next month’s cost of goods sold. The September 30 inventory was $43,125. Expected monthly operating expenses include: Wages of store workers are $9,200 per month Utilities expense of $1,000 in November and $1,500 in December Property tax expense of $2,000 per month Property and liability…
Fred's Factory has credit sales of $747,500 and an average accounts receivable balance of $57,500. Fred factors his receivables throughout the year with his local bank at a 2% discount. What is the effective annual rate of this arrangement? Multiple Choice 27.88% 29.24% 28.67% 28.03% 30.04%
Dog Food Corp. normally take 5 days to pay for average daily credit purchases of P10,000. Its average daily sales are P20,000, and it collects accounts in 7 days. Use 360-days. What is its net credit position?a)100,000b)90,000c)(75,000)d)(80,000)
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Bird's Eye Treehouses, Incorporated, a Kentucky company, has determined that a majority of its customers are located in the Pennsylvania area. Therefore, it is considering using a lockbox system offered by a bank located in Pittsburgh. The bank has estimated that use of the system will reduce collection time by 1.5 days. Average number of payments per day Average value of payment Variable lockbox fee (per transaction) Effective annual rate on money market securities 825 $745 $.15 a. NPV b. NPV 5.5% The total collection time will be reduced by three days if the lockbox system is adopted. a. What is the NPV of the new lockbox system? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. Suppose in addition to the variable charge, there is an annual fixed charge of $5,000 to be paid at the end of each year. What is the NPV now? (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answer…
American Signs allows customers to pay with their Jones credit card and cash. Jones charges American Signs a 3.5% service fee for each credit sale using its card. Credit sales for the month of June total $328,430, where 40% of those sales were made using the Jones credit card. Based on this information, what will be the total in Credit Card Expense at the end of June?

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