Description: Starting October 6, Canadian merchants are permitted to pass along credit card fees to consumers. In fact, Telus has already announced that it will do so. But retail watcher Bruce Winder said he does not see most restaurants and or retailers passing these fees along, fearing a possible customer backlash in an inflationary environment.
Date: October 5, 2022
1) Have you (or any of your classmates) had to pay a transaction fee yet on your credit card?
2) How would a merchant account for these credit card fees? What might the journal entry look like?
3) On page 7-17 of Wiley’s Financial Accounting: Tools for Business Decision-Making we read about service fees for processing debit and credit card transactions. What is the name of the largest Canadian payment processing business?