At December 31, 2020, Nixel Corp.'s records show the following balances, all of which are normal: PST Payable, $ 800; GST Payable, $ 500; GST Receivable, $ 345. In January 2021, Nixel pays the Federal Government the net amount owing regarding GST owing from December. The journal entry to record this payment will include a
A) debit to GST Payable of $ 155.
B) credit to Cash of $ 500.
C) credit to GST Payable of $ 500.
D) credit to GST Receivable of $ 345.

Question

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The Answer of At December 31, 2020, Nixel Corp.'s records show the following balances, all of which are normal: PST Payable, $ 800; GST Payable, $ 500; GST Receivable, $ 345. In January 2021, Nixel pays the Federal Government the net amount owing regarding GST owing from December. The journal entry to record this payment will include a
A) debit to GST Payable of $ 155.
B) credit to Cash of $ 500.
C) credit to GST Payable of $ 500.
D) credit to GST Receivable of $ 345.