2. Salalah accounting services to small businesses and they encounter the following situations pertaining to cash sales. 1. Walid Company rings up sales and sales taxes separately on its cash register. On April 10, the register totals are sales $150,000 and sales taxes $4,500. 2. Rahab Company does not segregate sales and sales taxes. Its register total for April 15 is $47,080, which includes 8% sales tax. Instructions: Prepare the entry to record the sales transactions and related taxes for each client.
2. Salalah accounting services to small businesses and they encounter the following situations pertaining to cash sales. 1. Walid Company rings up sales and sales taxes separately on its cash register. On April 10, the register totals are sales $150,000 and sales taxes $4,500. 2. Rahab Company does not segregate sales and sales taxes. Its register total for April 15 is $47,080, which includes 8% sales tax. Instructions: Prepare the entry to record the sales transactions and related taxes for each client.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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12. Salalah accounting services to small businesses and they encounter the following situations pertaining to cash sales.
1. Walid Company rings up sales and sales taxes separately on its cash register. On April 10, the register totals are sales $150,000 and sales taxes $4,500.
2. Rahab Company does not segregate sales and sales taxes. Its register total for April 15 is $47,080, which includes 8% sales tax.
Instructions:
Prepare the entry to record the sales transactions and related taxes for each client.
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