MacKenzie Company sold $320 of merchandise to a customer who used a Regional Bank credit card. Regional Bank deducts a 5.0% service charge for sales on its credit cards. MacKenzie electronically remits the credit card sales receipts to the credit card company and receives payment in approximately 5 days. The journal entry to record this sale transaction would be:
a Debit Cash of $320 and credit Sales $320.
b Debit Cash of $320 and credit Accounts Receivable-Regional $320.
c Debit Accounts Receivable-Regional $304.0; debit Credit Card Expense $16.0 and credit Sales $320.
d Debit Cash $304.0; debit Credit Card Expense $16.0 and credit Sales $320.
e Debit Cash $304.0 and credit Sales $304.0