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Ibrahim Company uses the perpetual inventory system and allows customers to use two credit cards in...

Ibrahim Company uses the perpetual inventory system and allows customers to use two credit cards in charging purchases. With the Ahli United Bank Card, Ibrahim receives an immediate credit to its account when it deposits sales receipts. Ahli United Bank assesses a 4% service charge for credit card sales. The second credit card that Ibrahim accepts is the CIB Card. Ibrahim sends its accumulated receipts to CIB on a weekly basis and is paid by CIB about a week later. CIB assesses a 2.5% charge on sales for using its card.

  

Apr. 8

Sold merchandise for $5,800 (that had cost $4,286) and accepted the customer's Ahli United Bank Card. The Ahli United receipts are immediately deposited in Ibrahim’s bank account.
12

Sold merchandise for $6,950 (that had cost $4,504) and accepted the customer's CIB Card. Transferred $6,950 of credit card receipts to CIB, requesting payment.
20

Received CIB’s check for the April 12 billing, less the service charge.

  

Prepare journal entries to record the above selected credit card transactions of Ibrahim Company. (Round your answers to the nearest whole dollar amount.)
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