Norlan Company does not ring up sales taxes separately on the cash register.Total receipts for October amounted to $36,750.If the sales tax rate is 5%, what amount must be remitted to the state for October's sales taxes?
A)$1,750
B)$1,838
C)$88
D)It cannot be determined.

Question

Quizplus · Accepted Answer

Sales tax = $36,750 x 5% = $1,837.50. Since the company does not ring up sales taxes separately, the amount remitted to the state must be rounded up to the nearest cent, which is $1,838.

Norlan Company Does Not Ring Up Sales Taxes Separately on the Cash