Indicate Whether Each of the Following Statements About Accepting Credit

Short Answer

Indicate whether each of the following statements about accepting credit cards from customers is true or false.
1. A benefit of accepting credit cards is that there is no associated cost to the merchant
2. A benefit of accepting credit cards is that increased sales may be generated
3. The entry to record a credit card sale increases total assets and increases total equity
4. The income statement is not affected when the receipt of cash from the credit card company is recorded
5. When recording the collection of cash from the credit card company, the entry acts to increase cash and increase revenue