A retailer recorded the following in July: cash sales $3,500; credit sales, $12,000; sales returns and allowances, $1,500. Assuming the sales tax rate is 8%, calculate the amount to record as Sales Tax Payable.

A retailer recorded the following in July: cash sales $3,500; credit sales, $12,000; sales returns and allowances, $1,500. Assuming the sales tax rate is 8%, calculate the amount to record as Sales Tax Payable.

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 6RE: Smith Company is required to charge customers an 8% sales tax on all goods it sells. At the time of...

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please see an attachment for details of general accounting

A retailer recorded the following in July: cash sales $3,500;
credit sales, $12,000; sales returns and allowances, $1,500.
Assuming the sales tax rate is 8%, calculate the amount to
record as Sales Tax Payable.

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