Click Cameras, an unincorporated retail business, operates in Alberta which does not participate in the HST program. The Quick Method remittance rates are 1.8 percent for businesses that purchase goods for resale and 3.6 percent for service providers. During the first quarter of the year, the business has taxable sales of $63,400. Current expenses on which the GST was paid total $26,275. Due to numerous burglaries, Click Cameras spends $44,900 on a sophisticated security system. All of these amounts are before the inclusion of GST. The system is being amortized over five years on a straight line basis. The store is used exclusively for the sale of taxable merchandise.
Compare the GST payable (receivable)using the regular method applicable to GST calculations with the amount that would be payable (receivable)using the Quick Method.

Question

Quizplus · Accepted Answer

The Answer of Click Cameras, an unincorporated retail business, operates in Alberta which does not participate in the HST program. The Quick Method remittance rates are 1.8 percent for businesses that purchase goods for resale and 3.6 percent for service providers. During the first quarter of the year, the business has taxable sales of $63,400. Current expenses on which the GST was paid total $26,275. Due to numerous burglaries, Click Cameras spends $44,900 on a sophisticated security system. All of these amounts are before the inclusion of GST. The system is being amortized over five years on a straight line basis. The store is used exclusively for the sale of taxable merchandise.
Compare the GST payable (receivable)using the regular method applicable to GST calculations with the amount that would be payable (receivable)using the Quick Method.

Click Cameras, an Unincorporated Retail Business, Operates in Alberta Which