Question & Answer: Sarasota Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Carmel Company employees. The total cruise pack…..

Sarasota Inc. sells tickets for a Caribbean cruise on ShipAway Cruise Lines to Carmel Company employees. The total cruise package price to Carmel Company employees is $62,000. Sarasota Inc. receives a commission of 6% of the total price. Sarasota Inc. therefore remits $58,280 to ShipAway. Prepare the journal entry to record the remittance and revenue recognized by Sarasota Inc. on this transaction.

Make a total of 3 account entries