5. 3.0 points The following transactions were selected from the records of Ocean

Q: 5. 3.0 points The following transactions were selected from the records of Ocean

Particulars Amount Sold Merchandise to Customer R 4500 Sold Merchandise to Customer S 10700 Sold Merchandise to Customer T 4900 Less: Sales Discount (10700*2%) 214 Credit Card Discount (4500*1%) 45 Net sales 19841 Particulars Amount Sold Merchandise to Customer R 4500 Sold Merchandise to Customer S 10700 Sold Merchandise to Customer T 4900 Less: Sales Discount (10700*2%) 214 Credit Card Discount (4500*1%) 45 Net sales 19841

ID: 2575963 • Letter: 5

Question

5. 3.0 points The following transactions were selected from the records of OceanView Company: July 12 Sold merchandise to Customer R, who charged the $4,500 purchase on his Visa credit card. Visa charges OceanView a 1 percent credit card fee 15 Sold merchandise to Customer S at an invoice price of $10,700; terms 2/10, n/30. 20 Sold merchandise to Customer T at an invoice price of $4,900; terms 2/10, n/30 23 Collected payment from Customer S from July 15 sale Aug 25 Collected payment from Customer T from July 20 sale. Required Assuming that Sales Discounts and Credit Card Discounts are treated as contra-revenues, compute net sales for the two months ended August 31 Net sales

Explanation / Answer

Particulars

Amount

Sold Merchandise to Customer R

4500

Sold Merchandise to Customer S

10700

Sold Merchandise to Customer T

4900

Less:

Sales Discount (10700*2%)

214

Credit Card Discount (4500*1%)

Net sales

19841