For questions 24-25, use the following information;Posner Co. is a retail store operating in a state with a 7% retail sales tax. Posner made creditsales of $750,000 which are subject to 7% sales tax,24. Total receivables were recorded for how much? 750,o0025. Sales Tax Payable is recorded for how much?49. o65For questions 26 & 27, use the following information:ABD Company pays a weekly payroll of $285,000 that includes federal taxes withheld of $38,100, FICAtaxes withheld of $23,670, and 401(k) withholdings of $27,000. (Although not required, preparingjournal entries may help you answer questions 26 & 27)26. What is the effect of assets from the transaction(s)?• TWO ANSWERS REQUIRED - (Increase of decrease and $ how much)27. What is the effect of liabilities from the transaction(s)?TWO ANSWERS REQUIRED - (Increase or decrease and $ how much)

Answered: For questions 24-25, use the following…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Hi! Thank you for the question, As per the honor code, we'll answer the first question since the exact one wasn't specified. Please submit a new question by specifying the one you'd like answered in the remaining questions.

The amount that is yet to be received from the customer on the sales made to them is referred to as accounts receivables.

Sales tax is the amount that is charged by the seller from the buyer as a percentage of sales on the price of goods and is collected at the time of sales.

Step 2

24: Total receivables:

$\begin{array}{rcl} T o t a l r e c e i v a b l e s & = & C r e d i t s a l e s + (C r e d i t s a l e s \times P e r c e n t a g e o f s a l e s t a x) \\ = & $ 750, 000 + ($ 750, 000 \times 7 %) \\ = & $ 802, 500 \end{array}$

Therefore, the total receivables are of $802,500.

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