In the quarter ended 31 March 20X2, C had sales taxable outputs, net of sales tax, of $90,000 and taxable inputs, net of sales tax, of $72,000. If the rate of sales tax is 10%, how much sales tax is due? A $1,800 receivable B $2,000 receivable C $1,800 payable D $2,000 payable

In the quarter ended 31 March 20X2, C had sales taxable outputs, net of sales tax, of $90,000 and taxable inputs, net of sales tax, of $72,000. If the rate of sales tax is 10%, how much sales tax is due? A $1,800 receivable B $2,000 receivable C $1,800 payable D $2,000 payable

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Related questions

Q: The annual revenue, expenses, and depreciation for a company are $130,000; 32,000; and $12,000,…

A: Revenue = 130,000 Expenses = 32000 Depreciation = 12000 Tax Rate = 23%

Q: Use the following information for Smith Brothers, Inc: EBIT / Revenue 15.00% Government Tax Rate…

A: Return on Asset: A sort of return on investment indicator called return on assets (ROA) gauges a…

Q: The tax rates for a particular year are shown below: Taxable Income $0-50,000 Tax Rate 15 % - 50,001…

A: Solution:Average tax rate refers to the percentage of total taxes paid to the total taxable…

Q: The following information is given to you relating to the operations of PrincehallCorporation: The…

A: The question is related to Income Statement. The details are given regarding the same. We will start…

Q: Vukovich Company reported pretax income of $130,000 and interest expense of $30,000 for its most…

A: Ratio analysis is a process of getting inside review of an organisation. An investor can get various…

Q: percent tax rate. Given the following pre-tax amounts, what would be the income tax expense reported…

A: For ascertaining the income tax liability of any tax payer, the pre-tax amounts of the business…

Q: Oakdale Fashions, Inc. had $245.000 in 2018 taxable income. Using the tax schedule in Table 2.3 to…

A: Income slab Tax amount Tax till $100,000 $22,250 $100,001 - $245,000 $145,000 x 39% = $56,550…

Q: a. $950,000

A: To calculate the tax refundable for the company, we need to first calculate the total tax liability…

Q: Consider the following data extracted from an after-tax cash flow calculation. Before-Tax-and-Loan =…

A: Taxes are to be paid as per the applicable tax rate on the Taxable Income of any organization.…

Q: Compute the pretax profit (income before income taxes) if the net income is $140,000 and the income…

A: Net income = $140,000 Income tax rate = 0.30 or 30% Pretax profit = ? Pretax profit is the profit…

Q: Use the following information for Taco Swell, Incorporated, (assume the tax rate is 23 percent):…

A: The "cash flow from creditors" means the financial exchanges that take place between a business and…

Q: There is a sales tax of 24 on an item that costs 276 before tax. A second item costs $218.50 before…

A: Sales tax percentage = Sales tax amount/cost before tax

Q: Calculate the actual sales since the sales and sales tax rung up together; assume a 6% sales tax.…

A: Sales Excluding sales tax = Sales including sales tax / (1+Rate of Sales Tax)

Q: the data below to answer the qu 30% 1 Corporate Tax Rate Year Revenues Cost of Goods Sold Selling…

A: Free cash flow is the money available in a business after making payment for all necessary expenses…

Q: Barron, Inc. sold goods for $888,500 on account. The company operates in a state that imposes a 12%…

A: Barron, Inc. sold goods for 888, 500 on account.Sales tax imposed on the sale of goods and…

Q: With the following data, compute the NET FUTA Tax. Gross FUTA Tax DUE $ 6,750 Credit against…

A: FUTA stands for Federal Unemployment Tax Act. This tax is imposed on employers whose employees leave…

Q: A customer purchases $28.14 in products only $12.83 is taxable. How much sales tax is owed if the…

A: Sales tax is a tax levied on the sale and purchase of goods and services. It is typically a…

Q: Revenue and expense data for Young Technologies Inc. are as follows: Year 2 Year 1 Sales…

A: An income statement is a financial statement that a company prepares quarterly or annually to show…

Q: Oakdale Fashions, Inc. had $245.000 in 2018 taxable income. Using the tax schedule in Table 2.3 to…

A: Average tax rate = (Total Taxes / Total Taxable Income) * 100 Marginal Tax rate = Amount of…

Q: Andre's Bakery has sales of $100,000 with costs of $50,000. Interest expense is $20,000 and…

Q: Sales = $1000 and costs = $500. Interest expense = $100 and depreciation = $100. The tax rate is…

A: The net income is the net profit of the company earned during the period. The net income includes…

Q: Entity E does not account for sales taxes separately when making sales. The sales tax rate is 8.5%.…

A: Sales tax is charged on the basis of sales during the year. If the total amount of collection is…

Q: Nu Company reported the following pretax data for its first year of operations. Net sales…

A: A person's or corporation's net income is the amount generated after deducting costs, allowances,…

Q: Fixed charge coverage for Tew Company is ________

A: The fixed-charge coverage ratio (FCCR) assesses a company's capacity to pay its fixed expenses,…

Q: 8 Cribbage Company had income before income tax of $164,000 last quarter and a 34% tax rate. Its net…

A: Net income after tax is that amount which is earned by the investor on his investment. It is the…

Q: 1D) Collins Company, which pays a 13% commission to its salespeople, reported sales revenues of…

A: Cost Accounting: It is the process of collecting, recording, analyzing the cost, summarizing cost,…

Q: The annual revenue, expenses, and depreciation for a company are $130,000; 32,000; and $15,000,…

A: Annual Revenue = 130,000 Expenses = 32,000 Depreciation = 15,000

Q: With the following data, compute the NET FUTA Tax. Gross FUTA Tax DUE $6,750 Credit against FUTA…

A: Formula: Net FUTA tax = Gross FUTA tax due - Credit against FUTA

Q: Assume Martinez Company has the following reported amounts: Sales revenue $ 610,000, Sales returns…

A: a. Net sales = sales revenue - sales return and allowance = $610000 - 30000 = $580,000

Q: Given the following case, calculate the independent effects of a 1 percent increase in Gross Margin,…

A: The gross margin is the amount of money a firm has left after deducting the direct costs of…

Q: Gorilla Movers has sales of S645,560, cost of gods sold of SsA25,890, depreciation of $32,450, and…

A: The times interest earned ratio is calculated as ratio of earnings before interest and taxes and the…

Q: The annual revenue, expenses, and depreciation for a company are $130,000; 32,000; and $11,000,…

A: Given: Annual revenue =$130,000 Expenses = $32,000 Depreciation = $11,000 Tax rate = 23%

Q: For the past year, Momsen Limited had sales of $47362, interest expense of $4,566, cost of goods…

A: Net income is the amount of money earned by the entity after deducting all the expenses from the…

Q: For the past year, Momsen Limited had sales of $45,017, interest expense of $3,308, cost of goods…

A: Net income is overall profit received by the company after providing the operating expenses and the…

Q: For the past year, Momsen, Ltd., had sales of $44,042, interest expense of $2,918, cost of goods…

A: Sales of $44,042 Interest Expense is $2,918 Selling and admin. Expense is $10,626 Depriciation isn…

Q: Assuming the following facts, calculate the total tax provision Sales…

A: Given that : Pre-tax book net income 75,000 Tax rate…

Q: Calculate the net income after corporate income tax is paid for Quarter 1 from the following income…

A: Tax Rate = 21% Q1 Pre tax income = 53 Q2 Pre tax income = 53

Q: Question 1:- Brodsky's Corporation had net sales of 2600000, Sales discounts 45000, cost of goods…

A: Income statement is also known as statement of profit and loss. It represents the profit and loss of…

Q: G. R. Edwin Inc. had sales of $5.88 million during the past year. The cost of goods sold amounted to…

A: Tax liability is the amount of tax that a firm/individual needs to pay to the Government on its…

Q: 1. Firm C has sales of 10,000 units for year ended 12-13-'14. The Unit Price was $ 100 (i.e. per…

A: The income statement is prepared at the very first stage at the end of the period. After preparing…

Q: iven the above information, calculate the net income. Enter the value in 2 decimal places, Sales…

A: Time interest earned ratio show the ability of company to pay interest on time and it is the ratio…

Q: A company's tax rate is 33% and its interest expense is $18,500. In addition, its cost of goods sold…

A: Tax Rate = t = 33%Interest Expenses = i = $18,500Cost of Goods Sold Rate = cogsr = 61%Depreciation…

Q: Assuming Sunny-D Cafe has a tax rate of 30 percent, calculate sales for the firm given the following…

A: - Tax rate: 30%- Net income: $37,900- Interest expense: $11,500- Depreciation expense: $14,200-…

Question

In the quarter ended 31 March 20X2, C had sales taxable outputs, net of sales tax, of $90,000 and taxable

inputs, net of sales tax, of $72,000.

If the rate of sales tax is 10%, how much sales tax is due?

A $1,800 receivable

B $2,000 receivable

C $1,800 payable

D $2,000 payable

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1

VIEW

Step 2

VIEW

Step 3

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, accounting and related others by exploring similar questions and additional content below.

Similar questions

Citrine Company reported the following on its income statement: Income before income taxes $500,000 Income tax expense 100,000 Net income $400,000 An analysis of the income statement revealed that interest expense was $50,000. Citrine Company's times-interest-earned ratio was: a. 18. b. 5. c. 9. d. 11.
Lantos Company had a 20 percent tax rate. Given the following pretax amounts, what would be the income tax expense reported on the face of the income statement? Sales revenue Cost of goods sold Salaries and wages expense Depreciation expense Dividend revenue Utilities expense Discontinued operations loss Interest expense $1,000,000 600,000 80,000 110,000 90,000 10,000 100,000 20,000 Example of Answer: 4000 (No comma, space, decimal point, or $ sign)
Hedepeth fne net income for the most recent year was S15,185, The tax rate was 34 percent The mm paid $3,806 in total interest expense and deducted $2,485 in depreciation expense. a) What is the company's Earnings Before Taxes (EBT) b) What is the company's Earnings Before Interest and Taxes (EBIT) c) What is the company's Earnings Before Interest, Taxes, and Depreciation (EBITD) d) What was the cash coverage ratio for the year and how do you interpret your answer?
A customer purchases $28.14 in prodcts only $12.83 is taxable. How much sales tax is owed if the tax rate is 10%?
Pertinent information for two alternatives A and B is shown below. If i=10 % / year and the effective income tax rate is 35%, answer the following true/false questions. Alt. A Alt.B 150,000 225,000 100,000 100,000 30,000 10,000 15,000 22,500 ADS-6: Years Recovery Period GDS: 5-Years Recovery Period Basis, $ Gross Income (Gl), $ Operating Expense (OE), $ Salvage Value, $ MARCS Depreciation Method The CFAT at the end of year 7 for Alt. A is less than $50,000. True O False
You received $5,000 in interest revenue during the year. Your federal marginal tax rate was 26% and average tax rate was 20%. How much federal income taxes did you pay? Select one: a. $1,300 b. $1,650 c. $950 d. $1,450 e. $3,300
Use the net FUTA tax rate of 0.6% on the first $7,000 of taxable wages. Queno Company had FUTA taxable wages of $510,900 during the year. Determine its: (Round your answers to two decimal places.) a. gross FUTA tax $fill in the blank 1.b. FUTA tax credits (assuming no penalties) $fill in the blank 2.c. net FUTA tax $fill in the blank 3.
With the following data, compute the NET FUTA Tax. Gross FUTA Tax DUE $ 6,750 Credit against FUTA (assume applicable) $3,100 Group of answer choices $3,100 $7,000 $3,650 $6,750
A company sells $100,000 (sales price) of goods and collects sales tax of 7%. What current liability does the sale create? OA. Unearned revenue of $7,000 OB. Sales revenue of $107,000 OC. Sales tax payable of $7,000 OD. None; the company collected cash up front.
Years Revenue Cash Expense Book Depreciation Book Income Pre-Tax Book Tax at 32% After Tax Book Income Financial Measures Profit Margin % Net Assets ROA % Cashflow Revenue Cash Expense Tax Depreciation Pretax Income Tax at 32% After Tax Income After Tax Cashflow Cumulative Cashflow Payback Period Present Worth 10 PW12 PW15 IRR PV Index(15) Facility Cost Income Tax Rate 0 C. -9.5 d. -12.4 $ 100,000.00 2.2 Years 91740.92679 0.395702526 1 0.684350818 $ 100,000.00 32% $30,000.00 $100,000.00 $120,000.00 $140,000.00 $150,000.00 $150,000.00 $50,000.00 $60,000.00 $70,000.00 $75,000.00 $75,000.00 2 $20,000.00 $20,000.00 $20,000.00 $20,000.00 $20,000.00 $0.20 $20,400.00 $27,200.00 $0.26 $9,600.00 $12,800.00 $16,000.00 $17,600.00 $17,600.00 $20,400.00 ($100,000.00) $40,400.00 $51,040.00 ($100,000.00) -$59,600.00 -$8,560.00 $40,000.00 $50,000.00 $55,000.00 $55,000.00 $0.23 3 $0.45 $36,727.27 $80,000.00 $60,000.00 $40,000.00 $20,000.00 $0.85 $1.87 4 $19,040.00 5 $34,000.00 $37,400.00 $0.24…