On October 1, 2019, Mara Company sold products on account to Baria Company for $6,300 including a 5% sales tax. On December 31, Mara remits the sales taxes to the government. The journal entry on October 1, 2019, is: * Debit Cash $6,300, Credit Sales Revenue $6,000 and Sales Tax Payable $300 Debit Cash $6.000 Credit Sales Revenue $6,000 Debit Account Receivable $6,300 Credit Sales Revenue $6,300 Debit Account Receivable $6,300, Credit Sales Revenue $6,000 and Sales Tax Expense $300 None of the above The entry to be recorded on December 31, 2019, is:

On October 1, 2019, Mara Company sold products on account to Baria Company for $6,300 including a 5% sales tax. On December 31, Mara remits the sales taxes to the government. The journal entry on October 1, 2019, is: * Debit Cash $6,300, Credit Sales Revenue $6,000 and Sales Tax Payable $300 Debit Cash $6.000 Credit Sales Revenue $6,000 Debit Account Receivable $6,300 Credit Sales Revenue $6,300 Debit Account Receivable $6,300, Credit Sales Revenue $6,000 and Sales Tax Expense $300 None of the above The entry to be recorded on December 31, 2019, is:

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter8: Current And Contingent Liabilities

Section: Chapter Questions

Problem 7MCQ

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