In its first period of trading a business has charged sales tax of $12,000 on its credit sales and $2,000 on its cash sales. Sales tax suffered on credit purchases is $3,000 and on cash expenses and purchases is $1,500. The amount owed to the government is $______________

Alpesh

On January 1 Year 1, Apple Co. sold goods to Brown Inc. for $250,000 in exchange for a 5-year, zero-interest-bearing note with a face amount of $402,628. The note had an implicit rate of 10 percent. The goods have an inventory cost on Bear’s books of $125,000. What amount of revenue will be recognized on the Year 1 income statement as a result of this transaction?

Merchandise is sold for cash. The selling price of the merchandise is $6,000, and the sale is subject to a 7% state sales tax. The entry to journalize the sale would include a credit to Oa. Sales for $5,580 b. Sales Tax Payable for $420 c. Cash for $6,000 d. Sales for $6,420

1

Swisher Company sold inventory with a selling price of $5,000 to customers for cash.It also collected sales taxes of $250. The journal entry to record this information includes aa. credit to Sales Tax Expense $250.b. credit to Sales Revenue $5,250.c. debit to Sales Tax Payable $250.d. debit to Cash of $5,250.

Delta Company sold goods to wholesalers on terms 2/15, n/30. The entity had no cash sales but 50% of the customers took advantage of the discount. The entity used the gross method of recording sales and accounts receivable. An analysis of the trade accounts receivable at year-end revealed the following: Age (No. of Days) Amount Collectible 0-15 2,000,000 100% 16-30 1,400,000 95% 31-60 400,000 90% Over 60 200,000 50% What is the net realizable value of accounts receivable at year-end?

NYFG, Inc.I has sales including sales taxes for the month of $742,000. If the sales tax rate is 6%, how much does NYFG owe for sales tax? Select one: O a. $48,000 O b. $42,000 c. $38,260 d. $45,420 e. $44,520

Question: The following transactions apply to Ozark Sales for Year 1: 1. The business was started when the company received $48,500 from the issue of common stock. 2. Purchased equipment inventory of $175,000 on account. 3. Sold equipment for $204,500 cash (not including sales tax). Sales tax of 7 percent is collected when the merchandise is sold. The merchandise had a cost of $129,500. 4. Provided a six-month warranty on the equipment sold. Based on industry estimates, the warranty claims would amount to 4 percent of sales. 5. Paid the sales tax to the state agency on $154,500 of the sales. 6. On September 1, Year 1, borrowed $21,500 from the local bank. The note had a 6 percent interest rate and matured on March 1, Year 2. 7. Paid $5,700 for warranty repairs during the year. 8. Paid operating expenses of $56,000 for the year. 9. Paid $124,100 of accounts payable. 10. Recorded accrued interest on the note issued in transaction no. 6. 1. Prepare the income statement for Year 1. 2.…

A store had receipts of $6045.50.  If the sales tax rate is 7%, how much merchandise did the store sell? The value of the merchandise sold (not including sales tax) is $ (blank)