can I get some help with this question
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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can I get some help with this question

Transcribed Image Text:Excise and Sales Tax Calculations
Clifford Company has just billed a customer for $1,100, an amount that includes a eight percent excise tax and a two percent state sales tax.
a. What amount of revenue is recorded?
b. Prepare a general journal entry to record the transaction on the books of Clifford Company.
Round all answers to the nearest dollar.
a. Amount of recorded revenue $
b.
General Journal
Date
Description
Debit
Credit
Dec.31
Excise Tax Payable
Sales Tax Payable
To record sale on account subject to excise tax and sales tax.

Transcribed Image Text:Excise and Sales Tax Calculations
Clifford Company has just billed a customer for $1,100, an amount that includes a eight percent excise tax and a two percent state sales tax.
a. What amount of revenue is recorded?
b. Prepare a general journal entry to record the transaction on the books of Clifford Company.
Round all answers to the nearest dollar.
a. Amount of recorded revenue $
b.
General Journal
Date
Description
Debit
Credit
Dec.31
Excise Tax Payable
Sales Tax Payable
To
Accounts Receivable
Excise Tax Payable
Sales Tax Payable
Sales
O Previous
A Save AnsSwers
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