Rosen Hardware Company recorded the following sales for the first quarter of 2014:
These amounts do not include sales taxes. The company is in a state with a sales tax rate of 6 percent.
Required:
a) Calculate the amount of sales tax that the company collected from its customers for each month.
b) For each month, indicate the effect of the sales and collection of sales tax on the statements model, below. Show dollar amounts of increases and decreases; enter NA if an item is not affected. In the cash flows column, designate cash flows as operating activities (OA), investing activities (IA). or financing activities (FA). c) On March 31, Rosen Hardware remitted to the state the total amount of sales tax for the quarter. Indicate in the statements model the effect of this transaction.

Question

Rosen Hardware Company recorded the following sales for the first quarter of 2014:  
These amounts do not include sales taxes. The company is in a state with a sales tax rate of 6 percent.
Required:
a) Calculate the amount of sales tax that the company collected from its customers for each month.
b) For each month, indicate the effect of the sales and collection of sales tax on the statements model, below. Show dollar amounts of increases and decreases; enter NA if an item is not affected. In the cash flows column, designate cash flows as operating activities (OA), investing activities (IA). or financing activities (FA). c) On March 31, Rosen Hardware remitted to the state the total amount of sales tax for the quarter. Indicate in the statements model the effect of this transaction.

Quizplus · Accepted Answer

The Answer of Rosen Hardware Company recorded the following sales for the first quarter of 2014:  
These amounts do not include sales taxes. The company is in a state with a sales tax rate of 6 percent.
Required:
a) Calculate the amount of sales tax that the company collected from its customers for each month.
b) For each month, indicate the effect of the sales and collection of sales tax on the statements model, below. Show dollar amounts of increases and decreases; enter NA if an item is not affected. In the cash flows column, designate cash flows as operating activities (OA), investing activities (IA). or financing activities (FA). c) On March 31, Rosen Hardware remitted to the state the total amount of sales tax for the quarter. Indicate in the statements model the effect of this transaction.

Rosen Hardware Company Recorded the Following Sales for the First