A state collects sales taxes for counties that have elected to "piggy-back" their taxes on the state sales tax.
Prepare entries to record these transactions in a Custodial Fund.
a. The state collects sales taxes totaling $7,000,000 for participating counties.
b. The fund pays the state $20,000 in administrative costs.
c. The state distributes the $6,800,000 in tax collections to the counties.

Question

A state collects sales taxes for counties that have elected to "piggy-back" their taxes on the state sales tax. 
Prepare entries to record these transactions in a Custodial Fund.
a. The state collects sales taxes totaling $7,000,000 for participating counties.
b. The fund pays the state $20,000 in administrative costs.
c. The state distributes the $6,800,000 in tax collections to the counties.

Quizplus · Accepted Answer

The Answer of A state collects sales taxes for counties that have elected to "piggy-back" their taxes on the state sales tax. 
Prepare entries to record these transactions in a Custodial Fund.
a. The state collects sales taxes totaling $7,000,000 for participating counties.
b. The fund pays the state $20,000 in administrative costs.
c. The state distributes the $6,800,000 in tax collections to the counties.

A State Collects Sales Taxes for Counties That Have Elected