Wainwright Stores Accepts Both Its Own and National Credit Cards

question 41

Essay

Wainwright Stores accepts both its own and national credit cards. During the year the following selected summary transactions occurred.
Jan. 15 Made Wainwright credit card sales totaling $24,000. (There were no balances prior to January 15.)
20 Made Visa credit card sales (service charge fee 2%) totaling $7,000.
Feb. 10 Collected $14,000 on Wainwright credit card sales.
15 Added finance charges of 1% to Wainwright credit card balance.
Instructions
(a) Journalize the transactions for Wainwright Stores.
(b) Indicate the statement presentation of the financing charges and the credit card service charge expense for Wainwright Stores.

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Definitions:

Resource-Based View

A framework for understanding competitive advantage that emphasizes the strategic value of a firm's resources and capabilities.

Competitive Advantages

The attributes that allow an organization to outperform its competitors, including cost structure, product offerings, brand, and customer service.

Sustainable Competitive Advantage

A long-term, defendable position a company holds over competitors, often through unique resources, capabilities, or technologies.

Transferable

Referring to skills, knowledge, or qualities that can be applied in different roles or contexts.