Question: Presented below are two independent transactions. (a) Tonys Restaurant accepted a Visa card in payment of a $175 lunch bill. The bank charges a 4%

Presented below are two independent transactions.
(a) Tony’s Restaurant accepted a Visa card in payment of a $175 lunch bill. The bank charges a 4% fee. What entry should Tony’s make?
(b) Larkin Company sold its accounts receivable of $60,000. What entry should Larkin make, given a service charge of 3% on the amount of receivables sold?

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