Reference no: EM132464096

Consider these transactions: (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Question (a) Oriole Company accepted a Visa card in payment of a $175 lunch bill. The bank charges a 4% fee. What entry should Oriole make?

Question (b) Sage Hill Inc. sold its accounts receivable of $70,000. What entry should Sage Hill make, given a service charge of 4% on the amount of receivables sold?

No.      Account Titles and Explanation Debit      Credit

(a)

1. enter an account title to record transaction A
2. enter a debit amount
3. enter a credit amount
4. enter an account title to record transaction A
5. enter a debit amount
6. enter a credit amount
7. enter an account title to record transaction A
8. enter a debit amount
9. enter a credit amount

(b)

1. enter an account title to record transaction B
2. enter a debit amount
3. enter a credit amount
4. enter an account title to record transaction B
5. enter a debit amount
6. enter a credit amount
7. enter an account title to record transaction B
8. enter a debit amount
9. enter a credit amount