5.04 Execute sales transactions

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5.04 Execute sales transactions
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Types of Sales transactions include

• Cash or sales check
• The simplest type of sales transaction.
• When a customer writes a check, the salesperson
  has to verify identity, usually by asking to see
  picture identification.
• Sales check a written record of a sales
  transaction that includes the date of the
  transaction, items purchased, purchase price,
  sales tax, and total amount due.

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Types of Sales transactions include

• Debit Card Sales
• Customer can choose to pay for purchases using
  their debit card.
• Customers key in a personal identification number
  (PIN) on the merchants keypad.
• The terminal dials the customers bank to check
  the availability of funds.
• The customer does not sign a sales receipt.
• Funds are immediately withdrawn from the
  customers bank account.

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Types of Sales transactions include

• Credit Card Sales
• Businesses that accept credit cards can increase
  sales by as much as 40. It has been proven that
  customers spend more when they are able to
  charge it.
• Most businesses accept Visa, MasterCard, American
  Express, and Discover.
• Credit cards are often used for Internet
  purchases.

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Types of Sales transactions include

• Credit Card (continued)
• Businesses must pay the issuing credit card
  company a transaction fee for processing the
  transaction.
• For example, most credit card companies charge
  merchants between 1.79 and 3.25 for each
  transaction.
• To eliminate fraud, retail stores may set a floor
  limit, the maximum amount that may be charged by
  a customer.
• For example, Bills Electronics only allows
  customers to charge 1,500 in merchandise without
  approval from the credit card company.

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Types of Sales transactions include

• Layaway sales
• Merchandise is removed from stock and held until
  the customer pays for it. The customer pays an
  initial deposit and makes payments over a certain
  period of time.

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Types of Sales transactions include

• On approval sale
• An agreement that allows the customer to take the
  merchandise home, for further consideration.
  This special arrangement is extended to regular
  customers. Credit information is often obtained
  in the event the customer does not return the
  item.

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Types of Sales transactions include

• Cash-on-delivery (COD)
• A customer pays for the merchandise upon
  delivery.
• CODs are not as efficient as other types of
  transactions.
• Customer may not be at home at the time of
  delivery, and there is the greater chance to
  commit fraud.

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Types of Sales transactions include

• PayPal, an eBay company
• allows merchants and individuals to accept
  payments on line.

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How much do I owe?

• Multiply unit price times the quantity purchased.
• Add the totals together to determine the
  subtotal.
• Calculate sales tax.
• Calculate shipping charges if applicable.
• Add the subtotal, tax and shipping charges.
• Item Qty. Price Extension
• Socks 2 2.99 5.98
• T-shirt 1 7.99 7.99
• Subtotal 13.97
• Tax 1.05
• Shipping 2.00
• TOTAL 17.02

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How much does the retailer owe?

• Debit sales - Merchants are charged a nominal fee
  regardless of the amount purchased.
• For example CeMours Hair Studio is charged
  a nominal fee regardless of the amount purchased
• Credit sales - Fees charged are based on a
  sliding scale dependent upon the processing agent
  and the amount being processed.
• For example Paynet Systems charges are based
  on a sliding scale