Answered: A retailer purchased an item from the…

A retailer purchased an item from the wholesaler for OMR 1000. If the retailer sells the same item for OMR 1500. The tax rate is 10%. How much tax the customer will pay?

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 6EA: Elegant Electronics sells a cellular phone on September 2 for $450. On September 6, Elegant sells...

See similar textbooks

Related questions

Q: Far and Wide Broadband provides Internet connection services to customers living in remote areas.…

A: A journal entry is a form of accounting entry that is used to report a business transaction in a…

Q: C) A retailer buys an article from the wholesaler at RO 240 and the wholesaler charges a sales tax…

A: a. price fixed by retailer = RO 300 sales tax =8% price that consumer pays = RO 300×1+sales tax=RO…

Q: to determine the sales tax (in $) and calculate the total purchase price (in $) for the item. (Round…

A: Given that, Selling price = $19.29 Rate of sales tax in california = 7.25%

Q: A businesa man made an article and sold it to a wholesaler at a profit of 20%. The wholesaler again…

Q: How much tax will be collected on a luxury item costing $12,720 if the rate is 7% on the first…

A: Tax is the charge on income or the value of goods and services or property. It is a revenue of…

Q: A) Write short note with one word or one sentence for the following – Markup, Selling price, Value…

A: Mark up is the difference between the sales price of a good or service and the cost of the product…

Q: a) A buyer pays 23,000 for a washing machine at a 10 % discount, compute the original price of the…

A: Note: Since you have posted multiple questions, we will solve the first question. Please submit a…

Q: Dalton bought a picnic table originally priced at $41.28 but on sale for 75% off. After 12.5% sales…

A: Sales tax is a form of indirect tax which is, being payable on sale of goods and services in the…

Q: Stork Enterprises delivers care packages for special occasions. They charge $50 for a small package,…

A: The sales tax is a type of indirect tax. The seller…

Q: Z co. is a manufacturer of corn and vegetable cooking oils. It had the following data in a month,…

A: Introduction: A tax is a governmental organization's mandatory financial charge or another type of…

Q: Target has a discount rack marked at 45% off. If an item has an original price tag of $18 and tax on…

A: The final cost will be calculated by subtracting discount amount and adding tax amount.

Q: F) A manufacturer printed the price of his goods as RO 360 per article. He allowed a discount of 30%…

A: VAT stands for Value added tax, which is a kind of indirect tax levied or charged on the goods and…

Q: A retailer sells a product at a price of 120 OMR. He purchased the same product from a wholesaler at…

A: Given, Sells Price = 120 OMR Purchase Price = 95 OMR Sales Tax = 6%

Q: If vests costing $00 with terms 2/20, n/60 ROG were received by the company on April 12 with an…

A: The invoice with term ROG states that due date for invoice would be counted from the date of receipt…

Q: If the merchandiser pays within 10 days of the invoice date how much will they actually pay?

A: The terms of payment are 2/10, n/30 which means that if the payment for invoice is paid within 10…

Q: A manufacturer sells his final product for R300 plus VAT (@15%) to a wholesaler. The wholesaler…

A: The final burden of VAT is on the consumer of the product. The registered taxpayer will get the…

Q: they sell by marking up its cost at wholesale a full 100%. If they had a sale with all items marked…

A: Step 1 In cost, there are two types of profit percentage method generally, which is based on On…

Q: A retailer buys a product from the wholesaler at 120 OMR and wholesaler charges sales tax of 8%. The…

A: VAT or value added tax as the name suggets is the tax calculated on the sales value but paid after…

Q: A retailer buys an article from the wholesaler at GHC 80 and the wholesaler charges a sales tax at…

A: Note: Since you have asked multiple questions, we will solve the first question for you. If you want…

Q: 27- A retailer sells a mobile phone to the customer at RO 60. He paid a VAT of 2 RO. If the tax…

A: Answer A retailer sells a mobile phone to the customer at RO 60 Vat paid RO 2 Tax rate = 10%

Q: A shopkeeper buys an article from the wholesaler at RO 72 and pays sales tax at the rate of 10%. The…

A: A value-added tax (VAT) is a consumption tax levied on a commodity whenever it adds value at any…

Q: Value Added Tax (VAT) - A retailer buys an article from the wholesaler at OMR 1,800 and the…

A: VAT (Value Added Tax) is levied in the multiple stage of the production of goods and services. It is…

Q: A consumer buys a Television whose listed price is RO 380 from a shopkeeper and pays a sales tax at…

A: List Price of Television = RO 380 List Price includes tax, Tax Rate = 10% Ouput TAx = RO 380 *…

Q: Elegant Electronics sells a cellular phone on September 2 for $374. On September 6, Elegant sells…

A: Taxes are the amount of dues that needs to be paid by individual or business to the government. This…

Q: A work at home opportunity is available in which you will receive 3 percent of the sales for…

A: Commission = Sales * Commission rate

Q: Mike purchases a bicycle costing $154.90. State taxes are 5% and local sales taxes are 3%. The store…

A: Total Purchase Price = Cost of Bicycle + Assembling Cost + State Tax + Local Sales Tax

Q: A shopkeeper pays 24 RO VAT. He sells the product to the customer for 730 RO. The sales tax is 8%.…

A: Price Charged to Customer = 730 RO VAT Rate = 8% Price charged to customer is inclusive of VAT/Sales…

Q: A manufacturer produced a good with a value of 300, the retailer added 140 to the value of the good.…

A: The final price to the consumer is shown hereunder : Manufacturer produced a good with a value of…

Q: Stork Enterprises delivers care packages for special occasions. They charge $45 for a small package,…

A: “Since you have posted a question with multiple sub-parts, we will solve first three subparts for…

Q: b) A customer in a wholesale store purchased 3 items for a number of quantities each as listed…

A: Product Price per unit (RM) Quantity Amount of Bought Discount Net Purchase price after discount…

Q: Loudoun Trucking purchases 4,750 truck tires. The federal excise tax is $0.13 per tire. Find the…

A: The amount of excise tax can be calculated Excise tax =Number of truck tires purchased× Federal…

Q: 3. A) Write short note with one word or one sentence for the following - Markup, Selling price,…

A: Part (A): Markup is the gap between the cost price and the selling price. Selling price is the…

Q: A retailer buys a product from the wholesaler at 120 OMR and wholesaler charges sales tax of 8%. The…

A: VAT PAID BY THE RETAILER TO THE GOVERNMENT : = OUTPUT TAX - INPUT TAX OUTPUT TAX IS TAX…

Q: When Lowes Home Improvements sells a new $223 air compressor to a customer, the sale is subject to…

A: Interest expense is a non-operating expense shown on the income statement. It represents interest…

Q: sold. (a) What was the weighted mean price of an Antonelli suit? (b) Springers paid $200 a suit for…

A: Profit is the amount left after paying expenses from the revenue earned.

Q: A consumer buys an article for a listed price of 380 OMR from a shopkeeper and pays 10% sales tax.…

A: Tax collected from consumer = listed price of article x sales tax rate = 380 x 10% = 38 OMR

Q: NYFG, Inc.I has sales including sales taxes for the month of $742,000. If the sales tax rate is 6%,…

A: Sales tax is charged on the sales revenue. It is a consumption-based tax imposed by the government.…

Q: Assuming that a Nissan Car Manufacturing Company sold 100 cars to the wholesale trader for OMR 7,500…

A: Note: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question…

Q: 9. Rolland Hendricks purchases three flashlight batteries at $.89 each and two rolls of film at…

A: Given: Purchased Flashlight batteries = $0.89×3= $2.67 2 rolls of film = $1.99×2 = $3.98 Sold 2…

Q: If a CD costs $25.00 and it is on sale for 15% off and the tax is 7.5%, what is the final cost?

A: In bookkeeping, a cost is a sum that is reported as an expense.

Q: A wholesaler sells a guitar for $1,380.60. What is the percent markup based on cost if the…

A: Markup = Sell price - buy price Markup = $1380.60 -$780 Markup =$600.60

Q: A salesman gets P10,000 commission on a sale of a item. This amount raised his average commission by…

A: Average It is the sum of all values divided by the number of values. For example, there are three…

Q: Ajinkya Electronic Systems, a company in India that manufactures many different electronic products,…

A: Since we only answer up to 3 sub-parts, we’ll answer the first 3. Please resubmit the question and…

Q: A man buys an article whose listed price is RO 380 from a shopkeeper and pays a sales tax at the…

A: The list price represents the amount charged from the buyer inclusive of specified tax rates.

Q: 5. A retailer buys an article from the wholesaler at OMR 80 and the wholesaler charges a sales tax…

A: a) Price that consumer have to pay would be- 100+8%of 100= 108. b) Input Tax: 80*8%= 6.4 Output…

Q: Use Exhibit 18-1 to determine the sales tax (in $) and calculate the total purchase price (in $) for…

A: Given, the selling price of a candy bar is $ 0.66 According to the Exhibit 18-1, the tax for the…

Q: Suppose the following table applies to the manufacture of wooden desks: Agent Purchase Price Sale…

A: The correct answer for the above mentioned question is given in the following steps for your…

Question

100%

A retailer purchased an item from
the wholesaler for OMR 1000. If the
retailer sells the same item for OMR
1500. The tax rate is 10%. How much
tax the customer will pay?
a. OMR 250
b. OMR 50
O c. OMR 100
O d. OMR 150

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1: Information Available

VIEW

Step 2: Computation

VIEW

Step by step

Solved in 2 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Elegant Electronics sells a cellular phone on September 2 for $450. On September 6, Elegant sells another cellular phone for $500. Sales tax is computed at 3.5% of the total sale. Prepare journal entries for each sale, including sales tax, and the remittance of all sales tax to the tax board on October 23.
A seller sells $800 worth of goods on credit to a customer, with a cost to the seller of $300. Shipping charges are $100. The terms of the sale are 2/10, n/30, FOB Destination. What, if any, journal entry or entries will the seller record for these transactions?
A retailer buys a product from the wholesaler at 120 OMR and wholesaler charges sales tax of 8%. The retailer fixes the price at 180 OMR to the customer at the same tax rate. How much VAT does the retailer pay to the government? a. 4.8 OMR b. 14.4 OMR c. 24 OMR d. 9.6 OMR
A retailer sells a product at a price of 120 OMR. He purchased the same product from a wholesaler at 95 OMR. The sales tax is 6%. Calculate the VAT paid by the retailer.
A consumer buys an article for a listed price of 380 OMR from a shopkeeper and pays 10% sales tax. The shopkeeper pays a VAT of OMR 3. Find the price inclusive of tax at which the shopkeeper bought from the wholesaler. a. 35O OMR b. 418 OMR c. 315 OMR d. 385 OMR
A seller of goods had the following details of sales and collection during the month: Receivables, beginning P 200,000.00 Gross sales 400,000.00 Less: Collection 500,000.00 Receivables, end P 100,000.00 1. What is the amount subject to business tax? a. P500,000 b. P400,000 c. P300,000 d. P200,000 2. In the immediately preceding problem, determine the amount subject to business tax if the taxpayer is a seller of services. a. P500,000 b. P400,000 c. P300,000 d. P200,000
A manufacturer printed the price of his goods as BD240 per article. He allowed a discount of 20% to the wholesaler who in his turn allowed a discount of 15% on the printed price to the retailer. If the prescribed rate of VAT on the goods is 5% and the retailer sells it to the consumer at the printed price. Instructions: Find the value added tax paid by the wholesaler and the retailer
prescribed rate of VAT on the goods is 10% and the retailer sells it to the consumer at the printed price.Save A A manufacturer printed the price of his goods as BD120 per article. He allowed a discount ot 30% to the wholesaler who in his turn allowed a discount of 20% on the printed price to the retailer. It the Require Find the value added tax paid by the wholesaler and the retailer.
Scottie, a VAT taxpayer, billed his customer: Selling Price 1,000,000 Value Added Tax 120,000 Total 1,120,000 The Output Tax is: SAMPLE ANSWER: 100,000
A wholesaler sells an item to a retailer for OMR 440. Tax charged is 5% The retailer sells the same item to the customer for OMR 480. Find the VAT paid by the retailer. a. 2 RO b. 3 RO c. 3.500 RO d. 2.500 RO
27- A retailer sells a mobile phone to the customer at RO 60. He paid a VAT of 2 RO. If the tax charged is 10%, calculate the price at which the wholesaler sells to retailer. a. 56 RO b. 44 RO c. 66 RO d. 40 RO
A camera has a listed price of $598.99 before tax. If the sales tax rate is 7.25%, find the total cost of the camera with sales tax included. Round your answer to the nearest cent, as necessary. s