Question: On January 10, Molly Amise uses her Lawton Co. credit card to purchase merchandise from Lawton Co. for $1,700. On February 10, Molly is billed for the amount due of $1,700. On February 12, Molly pays $1,100 on the balance due. On March 10, Molly is billed for the amount due, including interest at 1% per month on the unpaid balance as of February 12.
Instructions: Prepare the entries on Lawton Co.'s books related to the transactions that occurred on January 10, February 12, and March 10. (Omit cost of goods sold entries.)