Hi –
Assume the scenario where a company is an online booking service for bus tickets. A sample consumer books bus fare 1 month in advance @ $100. The company receives 3% commission from the bus provider for having a customer book through its website. The company holds onto the $100 until the customer rides the bus one month later, at which point it wires the bus provider the money.
What are the appropriate journal entries under this scenario?
Assume the scenario where a company is an online booking service for bus tickets. A sample consumer books bus fare 1 month in advance @ $100. The company receives 3% commission from the bus provider for having a customer book through its website. The company holds onto the $100 until the customer rides the bus one month later, at which point it wires the bus provider the money.
What are the appropriate journal entries under this scenario?
