The HST collected on a sale of merchandise is recorded as
A) a selling expense.
B) sales tax payable.
C) sales revenue.
D) cost of goods sold.

Name: The HST collected on a sale of merchandise is recorded as A) a selling expense. B) sales tax payable. C) sales revenue. D) cost of goods sold.
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Question

Quizplus · Accepted Answer

The HST (Harmonized Sales Tax) collected on a sale of merchandise is recorded as sales tax payable because it is a liability owed to the government, not an expense or revenue of the business.

The HST Collected on a Sale of Merchandise Is Recorded