Homework answers / question archive / Acme Company has an agreement with a major credit card company which calls for cash to be received immediately upon deposit of Acme customers' credit card sales receipts

Acme Company has an agreement with a major credit card company which calls for cash to be received immediately upon deposit of Acme customers' credit card sales receipts

Accounting

Share With

Acme Company has an agreement with a major credit card company which calls for cash to be received immediately upon deposit of Acme customers' credit card sales receipts. The credit card company receives 3.5% of card sales as its fee. If Acme has $2,000 in credit card sales, which of the following statements is true?

a. Acme debits Cash $2,000

b. Acme debits Cash $1,930

c. Acme debits Accounts Receivable - Credit Card Co $2,000

d. Acme debits Accounts Receivable - Credit Card Co $1,930

e. Acme credits Sales $1,930