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Franco Company Credits Its Sales Revenue Account for the Sales

Question 86

Multiple Choice

Franco Company credits its Sales Revenue account for the sales price and the sales tax collected on sales. If the sales tax rate is 9% and the balance in the Sales Revenue account amounted to €465,000, what is the amount of the sales taxes owed to the taxing authority (rounded to the nearest €) ?


A) €51,667.
B) €42,660.
C) €41,850.
D) €38,395.

Correct Answer:

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