Tess3falseMerchandise is sold for cash. The selling price of the merchandise is $2,000 and the sale is subject to a 7% state sales tax. The journal entry to record the sale would include acredit toOa. Sales for $1,860Ob. Cash for $2,000O c. Sales Tax Payable for $140Od. Sales for $2,140PreviousSubmit Test fEmail InstructorAll work saved.64°F ^ E I99+

Solution: Sales will be credited by = $2,000 Sales tax payable will be credited by = 2000*7% = $140…

Answered: Merchandise is sold for cash. The…

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter8: Current And Contingent Liabilities

Section: Chapter Questions

Problem 25CE: Sales Tax Cobb Baseball Bats sold 45 bats for $50 each, plus an additional state sales tax of 6%....

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Sales Tax Cobb Baseball Bats sold 45 bats for $50 each, plus an additional state sales tax of 6%. The customer paid cash. Required: Prepare the journal entry to record the sale.
Merchandise is sold for cash. The selling price of the merchandise is $3,000 and the sale is subject to a 7% state sales tax. The journal entry to record the sale would include a credit to a.Sales for $3,210 b.Cash for $3,000 c.Cash for $3,210 d.Sales Tax Payable for $210
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Merchandise is sold for cash. The selling price of the merchandise is $2,000 and the sale is subject to a 7% state sales tax. credit to O a. Sales for $1,860 Ob. Cash for $2,000 Oc. Sales Tax Payable for $140 Od. Sales for $2,140