#3

All of the following represent taxes commonly collected by businesses except: Oa. Employment Insurance taxes Ob. Federal sales taxes Oc. Provincial sales taxes Od. Harmonized sales taxes

Corporations report which of the following in a separate section of the income statement? O Other revenues and gains. O Cost of goods sold. O Gross profit. O Income tax expense.

When a sale is made and sales tax is collected from the customer, the sales tax is recorded as a/an ______________________ until the amount owed to the state is remitted. Group of answer choices revenue (sales tax revenue) current asset (cash) current liability (sales tax payable) expense (sales tax expense)

What would be the appropriate account title for funds collected by a sales tax custodial fund? A. Sales tax revenue B. Other financing sources C. Additions-tax collections for other governments D. Sales taxes receivable

For federal income tax purposes, the difference between the total income and total expenses reported by a C corporation may be referred to as what type of income?

For which of the following sources of income would the entire amount be required to be included in a business’ gross income and taxed in the current year? a. Prepaid rent received by a cash-method company b. Life insurance proceedsc. State and local bond interest d. None of the above

Which of the following statements best describes the income tax expense recognised in an entity’s income statement according to IAS 12? a. The income tax related to the accounting profit (pre-tax) for the period    b. The income tax related to the taxable profit for the period c. The income tax paid in cash during the period d. The product of the applicable tax rate and the taxable profit for the period

Which of the following accounts is debited to record the payment of employees' state income tax withholding? a. Employees' State Income Tax Payable b. Employees' State Income Tax Received c. Capital d. Cash