On July 5, Brenner Company recorded sales of merchandise inventory on account, $25,000. The sales were subject to sales tax of 10%. On August 15, Brenner Company paid the sales tax owed to the state from the July 5 transaction. Requirements 1. Journalize the transaction to record the sale on July 5. Ignore cost of goods sold. 2. Journalize the transaction to record the payment of sales tax to the state on August 15. Requirement 1. Journalize the transaction to record the sale on July 5. Ignore cost of goods sold.
On July 5, Brenner Company recorded sales of merchandise inventory on account, $25,000. The sales were subject to sales tax of 10%. On August 15, Brenner Company paid the sales tax owed to the state from the July 5 transaction. Requirements 1. Journalize the transaction to record the sale on July 5. Ignore cost of goods sold. 2. Journalize the transaction to record the payment of sales tax to the state on August 15. Requirement 1. Journalize the transaction to record the sale on July 5. Ignore cost of goods sold.
College Accounting, Chapters 1-27
23rd Edition
ISBN:9781337794756
Author:HEINTZ, James A.
Publisher:HEINTZ, James A.
Chapter10: Accounting For Sales And Cash Receipts
Section: Chapter Questions
Problem 2CE: Prepare journal entries for the following sales and cash receipts transactions. (a) Merchandise is...
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Question
On July 5,
Brenner
Company recorded sales of merchandise inventory on account,
$25,000.
The sales were subject to sales tax of
10%.
On August 15,
Brenner
Company paid the sales tax owed to the state from the July 5 transaction.Requirements
1.
|
Journalize the transaction to record the sale on July 5. Ignore cost of goods sold.
|
2.
|
Journalize the transaction to record the payment of sales tax to the state on August 15.
|
Requirement 1. Journalize the transaction to record the sale on July 5. Ignore cost of goods sold.
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