The Griffin Corporation Accepted a Credit Card for a Sale

question 72

Short Answer

The Griffin Corporation accepted a credit card for a sale of $3,000 on December 16,2016.The credit card company charges a fee of 4%.On January 5,2017,Griffin received payment from the credit card company.Indicate whether each of the following statements is true or false.
_____ a)Griffin should record $2,880 revenue in 2016 when the sale is made.
_____ b)Griffin should record a credit card receivable account receivable of $3,000 on 12/16/16.
_____ c)The sale has no impact on the statement of cash flows in 2016.
_____ d)The collection of cash increases total assets in 2017.
_____ e)The entry on 12/16/16 increases total revenues and total expenses on the 2016 income statement.

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Definitions:

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A class of antipsychotic drugs used to treat mental health conditions by affecting neurotransmitter activity in the brain, with a historical significance in the treatment of schizophrenia.