Problem E: Davis Company allows customers to make purchases on credit. The terms of all credit sales are n/30. Other customers can use a bank credit card where the bank charges a 4% fee for credit card sales. White uses the perpetual inventory method. Prepare journal entries to record the following selected transactions and events. June Sold $18,000 of merchandise (cost $12,000) on credit to S. Peoples. 4 June Sold $21,000 of merchandise (cost $16,350) to customers who used a bank credit card. 6 June Sold $18,500 of merchandise (cost $9,500) on credit to D. MooreCompany. 8 June Accepted a $12,000, 45-day, 3% note dated this day in granting R. Campbell time extension on 10 his past-due account receivable. June Received Peoples' check in full payment of the purchase on June 4. 12 June Wrote off the account of H. Quick against the Allowance for Doubtful Accounts. The $1,700 15 balance stemmed from a credit sale in January. June Accepted a $8,000, 30-day, 10% note dates this day in granting L. Jackson a time extension on 20 his past-due account receivable. July Received the amount previously written-off from H. Quick.

Problem E: Davis Company allows customers to make purchases on credit. The terms of all credit sales are n/30. Other customers can use a bank credit card where the bank charges a 4% fee for eredit eard sales. White uses the perpetual inventory method. Prepare journal entries to record the following selected transactions and events. June $02d$18,000 of merchandise (cost $12,000 ) on credit to $. Peoples. 4 June Seld $21,000 of nerchandise (c0st516,350) to eitstomers who used a bank credit card. 6 June sold 918,500 of merchandise {cost69,500) on credit to D. Mooreconpany. 8 June Accepted a \$12,000, 45-day, 34 note daced this day in granting A. Campell time extension on 10 his past-due account receivable. June Received Peoples' check in full payment of the purchage on June 4. 12 June wrote oft the account of H. Oulek against the Allokance for Doubtful Accounts. Tha 91,700 15 balance stemed from a credit sale in January. June Aceepted a 58,000,30-day, 104 note dates this day in granting L. Jackach a time extenaion on 20 his pati-toe tecount receivable. July Recelved the anount previously written-otf from il, duick