Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Fraud Accounting, Intermediate Accounting, Managerial Accounting, Video Updates.

On December 19, 2013, Target admitted that it was hit by an extensive theft of its customers’ credit-card and debit-card data over the Black Friday weekend. The theft was national in scope and happened in stores, not online.

1. When and what happened with respect to a card breach at T.J. Maxx and Marshalls retail stores?
2. What information may the criminals now have from the Target breach?
3. What is the normal journal entry for recording a credit card sale? Assume a $50.00 sale, with a 7% sales tax and a three percent credit card bank fee.
4. What measures is Target taking currently regarding the breach and what agencies or groups are involved?

Hsu, T. (2013). Target says 40 million credit, debit card accounts may be breached. The Los Angeles Time, Dec.19 (Retrievable online at,0,1326731.story#ixzz2nwq8aown)