Mansour Company makes sales on which an 8% sales tax is assessed.The following summary transactions were made during 2010:
a. Cash sales of $ \$ 900,000 $, excluding sales taxes.
b. Credit sales of $ \$ 2,150,000 $, including sales taxes
c. Sales taxes of $ \$ 250,000 $ were paid to the state.
Required:
Prepare journal entries to record the preceding transactions.(Round to the nearest whole number.)

Question

Mansour Company makes sales on which an 8% sales tax is assessed.The following summary transactions were made during 2010:
 a. Cash sales of $ \$ 900,000 $, excluding sales taxes.
b. Credit sales of $ \$ 2,150,000 $, including sales taxes
c. Sales taxes of $ \$ 250,000 $ were paid to the state.
 Required:
Prepare journal entries to record the preceding transactions.(Round to the nearest whole number.)

Quizplus · Accepted Answer

The Answer of Mansour Company makes sales on which an 8% sales tax is assessed.The following summary transactions were made during 2010:
 a. Cash sales of $ \$ 900,000 $, excluding sales taxes.
b. Credit sales of $ \$ 2,150,000 $, including sales taxes
c. Sales taxes of $ \$ 250,000 $ were paid to the state.
 Required:
Prepare journal entries to record the preceding transactions.(Round to the nearest whole number.)

Mansour Company Makes Sales on Which an 8% Sales Tax $900,000 \$ 900,000 $900,000

Mansour Company Makes Sales on Which an 8% Sales Tax $\$ 900,000$