Asked by ethan battista on May 22, 2024
Verified
Journalize the entries to record the following selected transactions:
(a)Sold $900 of merchandise on account, subject to 7% sales tax. The cost of the goods sold was $510.(b)Paid $436 to the state sales tax department for taxes collected.
Sales Tax
A tax on sales or receipts from sales, usually calculated as a percentage of the sale price and collected by the seller from the consumer at the point of sale.
Merchandise Sold
The total value of goods that have been sold by a company during a specific period, often reported on the income statement.
Sales Tax Department
The government department or agency responsible for collecting, administering, and enforcing sales tax regulations and payments.
- Attain knowledge of and deploy the perpetual inventory system for transaction notation.
Verified Answer
LS
Learning Objectives
- Attain knowledge of and deploy the perpetual inventory system for transaction notation.