Cullumber Corporation made credit sales of $20,400 which are subject to 7% sales tax. The corporation...

Cullumber Corporation made credit sales of $20,400 which are subject to 7% sales tax. The corporation also made cash sales which totaled $25,038 including the 7% sales tax.

Prepare the entry to record Cullumber’s cash sales. (If no entry is required, select "No Entry" for the account titles and enter 0 for the amounts. Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Account Titles and Explanation	Debit	Credit

Expert Solution

Prepare the entry to record Cullumber’s credit sales.
Accounts Titles and Explanation	Debit	Credit
Accounts receivable [Sales + Sales tax = $20,400 + $1,428]	$21,828
Sales / Sales revenue		$20,400
Sales tax payable [Sales x Tax rate = $20,400 x 7%]		$1,428
*(To record credit sales)*

.

Prepare the entry to record Cullumber’s cash sales
Accounts Titles and Explanation	Debit	Credit
Cash [Sales + Sales tax = $25,038 + $1,752.66]	$26,790.66
Sales / Sales revenue		$25,038.00
Sales tax payable [Sales x Tax rate = $25,038 x 7%]		$1,752.66
*(To record cash sales)*

ekkarill92 answered 2 years ago

A restaurant made cash sales of $4,000 subject to a 5% sales tax. Record the sales...

A restaurant made cash sales of $4,000 subject to a 5% sales tax. Record the sales and the related tax. Also record the payment of the tax to the state. On October 1, 2014, Rhodes Company purchased equipment at a cost of $10,000.00, signing a nine-month 8% note payable for that amount. Record the October 1 purchase and the adjusting entry needed on December 31, 2014. Record the entry for the payment of the note plus interest at maturity on...

1- a restaurant made cash sales of $4,000 subject to a 5% sales tax. record the...

1- a restaurant made cash sales of $4,000 subject to a 5% sales tax. record the sales and the related tax. also record the payment of the tax to the state. on october 1, 2014, rhodes company purchased equipment at a cost of $10,000.00, signing a nine-month 8% note payable for that amount. record the october 1 purchase and the adjusting entry needed on december 31, 2014. record the entry for the payment of the note plus interest at maturity...

Orion Corporation made cash sales during May which totaled $19,635, including the 5% sales tax. These...

Orion Corporation made cash sales during May which totaled $19,635, including the 5% sales tax. These sales remain unrecorded, and no sales tax has been remitted to the state. Journalize Orion's sales for May

a. Sold $852,000 of merchandise on account, subject to a sales tax of 7%. The cost of the goods sold was $502,680.

Sales Tax TransactionsJournalize the entries to record the following selected transactions.a. Sold $852,000 of merchandise on account, subject to a sales tax of 7%. The cost of the goods sold was $502,680.If an amount box does not require an entry, leave it blank.Accounts ReceivableSalesSales Tax PayableCost of Goods SoldInventoryb. Paid $45,520 to the state sales tax department for taxes collected.If an amount box does not require an entry, leave it blank.Sales Tax PayableCash

Sales Tax A sale of merchandise on account for $36,000 is subject to an 8% sales...

Sales Tax A sale of merchandise on account for $36,000 is subject to an 8% sales tax. a. Should the sales tax be recorded at the time of sale or when payment is received? b. What is the amount of the sale?$ c. What is the amount debited to Accounts Receivable?$ d. What is the title of the account to which the $2,880 ($36,000 × 8%) is credited?

Sales Tax A sale of merchandise on account for $12,500 is subject to a 8% sales...

Sales Tax A sale of merchandise on account for $12,500 is subject to a 8% sales tax. (a) Should the sales tax be recorded at the time of sale or when payment is received? (b) What is the amount credited to sales? $ (c) What is the amount debited to Accounts Receivable? $ (d) What is the account to which the $1,000.00 is credited?

Smart Co Sales made on credit. On July 1, 2018 it made sales of $60 000...

Smart Co Sales made on credit. On July 1, 2018 it made sales of $60 000 with the term 3/10, n/30. On July 9, 2018 Smart Co received $30000 payment for July 1 sales. Remaining Payment received by smart Co on 15th July, 2018. Requirement: Record the Journal Transaction with discount amount with Gross Method and Net Method.

While an S-corporation is not subject to income tax, they may be subject to other special...

While an S-corporation is not subject to income tax, they may be subject to other special taxes. Please provide a brief description of those taxes and when and how they would apply to an S-Corporation.

Wayne Corporation is subject to State A's franchise tax. The tax is imposed at a rate...

Wayne Corporation is subject to State A's franchise tax. The tax is imposed at a rate of 1.2% of the corporation's net worth that is apportioned to the state by use of a two-factor formula (sales and property factors, equally weighted). The property factor includes real and tangible personal property, valued at historical cost as of the end of the taxable year. Forty percent of Wayne's sales are attributable to State A, and $600,000 of the cost of Wayne's tangible...

contributed capital accounts: A corporation has $94,000 in total assets, $29,000 in total liabilities, and a $20,400 credit balance in retained earnings.

A corporation has $94,000 in total assets, $29,000 in total liabilities, and a $20,400 credit balance in retained earnings. What is the balance in the contributed capital accounts? Multiple Choice$65,000$49,400$85,400$44,600

Question