Kool's Stores made cash sales during the month of May of $79,500.The sales are subject to a 6% sales tax that was also collected.Which of the following would be included in the summary journal entry to reflect the May sales transactions?

Question

Quizplus · Accepted Answer

The sales tax collected is 6% of $79,500, which is $4,770. Therefore, the correct entry would include a credit to Sales Tax Payable for $4,770.

Kool's Stores Made Cash Sales During the Month of May