Journalize the entries to record the following selected transactions:
| (a) | Sold $900 of merchandise on account, subject to 7% sales tax. The cost of the merchandise sold was $510. |
| (b) | Paid $436 to the state sales tax department for taxes collected. |
Darshita Changed status to publish February 17, 2020
Answer:
| No: | Detail and description | Debit $ | Credit $ |
| (a) | Accounts Receivable | 963 | |
| Sales | 900 | ||
| Sales Tax Payable | 63 | ||
| Cost of Merchandise Sold | 510 | ||
| Merchandise Inventory | 510 | ||
| (b) | Sales Tax Payable | 436 | |
| Cash | 436 |
Darshita Changed status to publish February 17, 2020
