Scenario:You are hired as a new bookkeeper in Saudi Fresh Food shop. The business has now been open...

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Scenario:You are hired as a new bookkeeper in Saudi Fresh Food shop. The business has now been open for one month. There are still some planning issues to resolve as well as operational tasks that need to be completed.Task:A. Below is a sample credit card merchant statement. Examine every part of it and answer questions XXXXXXXXXXthat follow.1. What is the name of this Merchant processing centre?2. For what month is this statement?3. What is the total of deposits that should appear on the merchant’s bank statement? 4. How many deposits in total were made into bank account for credit card sales? 5. Which journal and which ledger will this amount appear in? Explain your answer. 6. How will this deposit be treated in the journal and in the ledger? 7. How much has been charged by this service in total? 8. Which journal/ledger should this service appear? 9. Which credit card was used the most/least? 10. On what day were most credit card sales made? 11. Credit card receipts has a total of XXXXXXXXXXS.R.Your manager asked you to do credit card reconciliation and explain the reason for difference.B. You have received the first bank statement for the business. You are required to check the bank statement and compare it with the bank account. Both documents are in the Appendix. Prepare a bank reconciliation statement to reconcile the updated bank balance with the bank statement. You should use the Bank Reconciliation Statement in the Appendix.    Appendix:    Bank Statement    Saudi Fresh Food ShopPO Box 223344Jeddah        ACCOUNT NUMBER     XXXXXXXXXX    Date    Details    D    C    Balance            SAR    SAR    SAR    1    Balance             XXXXXXXXXXDR    1    Sales        5000.00    600    1    C Iqbal    400.00        200    1    E Rahool    500.00        -300    2    Sales        7000.00    6700    3    Sales        1500.00    8200    3    M J Automotive    7000.00        1000    4    Sales         XXXXXXXXXX    11000    5    Sales        5000.00    16000    6    Sales        5500.00    21500    7    Sales        2500.00    24000Bank Account in Business’s books    Date    Details    DR    CR    Balance    Septembe        SAR    SAR    SAR    1    Balance             XXXXXXXXXXCR    1    Sales    5000.00        9400.00    1    C Iqbal        400.00    9000.00    1    E Rahool        500.00    8500.00    2    Sales    7000.00         XXXXXXXXXX    3    Sales    1500.00         XXXXXXXXXX    3    M J Automotive        7000.00     XXXXXXXXXX    4    Sales     XXXXXXXXXX         XXXXXXXXXX    5    Sales    5000.00         XXXXXXXXXX    6    Sales    5500.00         XXXXXXXXXX    7    Sales    2500.00         XXXXXXXXXX    7    PP Printing        2000     XXXXXXXXXX    7    Aramco        500     XXXXXXXXXX

Pallavi · Accepted Answer

A.
1. Merchant Services is the name of this Merchant processing centre.
2. This statement refers to September month.
3. The total amount of deposits that appear on the merchant’s bank statement is 36500 SAR.
4. Seven deposits have been made in total into bank account for credit card sales.
5. Credit card journal and Sales Account journal will get affected. The amount will appear in Saudi Fresh Food shop and sales account of the merchant processing centre.
 The deposits has been made from Merchant Services gateway hence Sales account of this merchant processing centre will get affected and credit card sales has been made online. Hence,

Scenario: You are hired as a new bookkeeper in Saudi Fresh Food shop. The business has now been open for one month. There are still some planning issues to resolve as well as operational tasks that...

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