Crystal Products allows customers to use bank credit cards to charge purchases.

The bank used by Crystal Products processes all bank credit cards in exchange for a 3% processing fee.

All credit card receipts deposited are credited to the company account on the day of deposit.

Assume that on January 18, Crystal Products sold and deposited $19,000 worth of bank credit card receipts.

Prepare the general journal entry to record this transaction.

Describe how accounts receivable arise and how they are accounted for, including the use of a subsidiary ledger and an allowance account?

Define a note receivable and explain how interest is calculated on a short-term note receivable.

Explain the options a company has when converting its receivables to cash.

Please avoid plagiarism. I am expecting that you are an EXPERT. 

Answer rating: 100% (QA)

Accounts receivable financing is a method of selling receivables in order to obtain cash for company operations Accounts receivable are amounts owed b... View the full answer