SALES TAX Weston Cellular provides wireless phone service. During April 2010, it billed customers a total of $75,000 before taxes. Weston also must pay the following taxes on these charges: 1. State of Illinois sales tax of 6 percent 2. Federal excise tax of 0.01 percent 3. State of Illinois use tax of 0.05 percent
SALES TAX Weston Cellular provides wireless phone service. During April 2010, it billed customers a total of $75,000 before taxes. Weston also must pay the following taxes on these charges: 1. State of Illinois sales tax of 6 percent 2. Federal excise tax of 0.01 percent 3. State of Illinois use tax of 0.05 percent
Intermediate Accounting: Reporting And Analysis
3rd Edition
ISBN:9781337788281
Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach
Chapter9: Current Liabilities And Contingent Obligations
Section: Chapter Questions
Problem 14E
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SALES TAX
Weston Cellular provides wireless phone service. During April 2010, it billed customers a total of $75,000 before taxes. Weston also must pay the following taxes on these charges:
1. State of Illinois sales tax of 6 percent
2. Federal excise tax of 0.01 percent
3. State of Illinois use tax of 0.05 percent
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