McGregor Company allows customers to pay with credit cards. The credit card company charges McGregor 3% of the sale. When a customer uses a credit card to pay McGregor $200 for services provided, McGregor would:
A. Debit Service Fee Expense for $6.
B. Debit Cash for $200.
C. Credit Service Revenue for $206.
D. Credit Service Revenue for $194.
Answer: A
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