Reference no: EM132678698

Z-Mart uses the perpetual inventory system and has its own credit card. Z-Mart charges a per-month interest fee for any unpaid balance on its store credit card at each month-end.

Apr. 30 Z-Mart sold merchandise for $1,000 (that had cost $650) and accepted the customer's Z-Mart store credit card.

May 31 Z-Mart recorded $4 of interest earned from its store credit card as of this month-end.

Record the journal entries for the following:

Problem 1: Z-Mart sold merchandise for $1,000 and accepted the customer's Z-Mart store credit card, Record the cost of good sold $650

Problem 2: Z-Mart recorded $4 of interest earned from its. store credit card as of this month end.(Options for journal entries include: Accounts Payable, Accounts Receivable, Allowance for doubtful accounts, bad debts expense, cash, cost of goods sold, credit card expense, factoring fee expense, interest receivable, interest revenue, merchandise inventory, notes payable, notes receivable, sales, sales discounts)