Homework Answers
Solution 1:
When sales taxes are collected by sellers, this is not a revenue for seller or buyer, this is government liability that seller have to deposit. Therefore same is credited to sales tax payable account. This is revenue for government only.
Solution 2:
In prepetual inventory system, inventory is debited to record freight costs when purchasing goods.
In periodic inventory system, "Freight In" debited to record freight costs when purchasing goods.
solution 3:
"Freight out" account is used to record freight costs when selling goods.
Add Answer to:
when sales taxes are collected by the sellers, who revenue is
it ?
joumal en es...
Instructions Record the following selected transactions: (a) Sold $900 of merchandise on account, subject to 7%...
Instructions Record the following selected transactions: (a) Sold $900 of merchandise on account, subject to 7% sales tax. The cost of the merchandise sold was $510 (b) Paid $436 to the state sales tax department for taxes collected. Required: Journalize the entries. Refer to the Chart of Accounts for exact wording of account titles. Who is responsible for the freight cost when the terms are FOB destination? a. the seller b. the customer c. either the buyer or the seller...
Nhat are the differences between Periodic and Perpetual Inventory When Sales Taxes are collected by the...
Nhat are the differences between Periodic and Perpetual Inventory When Sales Taxes are collected by the seller, who's revenue is it? Name 1:er
True-Pake F 1. FOB shipping point means the seller incurs the shipping costs. A company is...
True-Pake F 1. FOB shipping point means the seller incurs the shipping costs. A company is more likely to know the amount of inventory on hand at any time if it uses 2. the perpetual system than if it uses the periodic system. ue less cost of goods sold equals gross profit. of F 3. Net sales revenue T sales discounts and sales returns/allowances equals net sales. 5. A reduction given by the seller for sales discount by the seller....
8. SHORT ANSWERS 19 Marks) When the buyer pays the freight costs, which account would be...
8. SHORT ANSWERS 19 Marks) When the buyer pays the freight costs, which account would be debited in the entry to record the payment under a perpetual Inventory system? (1 mark) the normal operating cycle of a merchandising company longer or shorter than for a service company Briefly explain the main difference between their operating cycles (2 mars 3) Goods that were purchased FOB destination are still in transit when a physical Inventory is being done. Will the seller include...
describe them in your ouwn words. as a long parragraph Revenue Recognition Sales revenue is recognized...
describe them in your ouwn words.
as a long parragraph
Revenue Recognition Sales revenue is recognized at the time of product shipment or delivery, depending on when control passes, to unaffiliated customers, and when all of the following have occurred: a firm sales agreement is in place, pricing is fixed or determinable, and collection is reasonably assured. Sales are reported net of returns, consumer and trade promotions, rebates and freight allowed. Taxes imposed by governmental authorities on our revenue-producing activities...
Please answer 24 and 26 only A).22 B).08 24) Data were collected on monthly sales revenues...
Please answer 24 and 26 only
A).22 B).08 24) Data were collected on monthly sales revenues (in $1000s) and monthly advertising expenditures (51005) fora sample of drug sample of drug stores. The regression line relating revenues () to advertising expenditure (X) is estimated to 3+ 9.00x. The correct interpretation of the slope is that for each additional spent on advertising, predicted sales revenue decreases by $9000. be y =-48. A) $100 B) $1 spent on advertising, predicted sales revenue increases...
EX#2 - Glossary: Define an inventory system in which the company does not maintain detailed records...
EX#2 - Glossary: Define an inventory system in which the company does not maintain detailed records of goods on hand throughout the accounting period and determines cost of goods sold only at the end of the accounting period. A Perpetual inventory system Periodic inventory system Just-in-Time Inventory System 0. Specific Identification Inventory Method TEXA2-Glossary: A perpetual inventory System Als updated each time an Her is purchase and updates cost of goods sold. B. Uses optical scanners and bar codes to...
The account Sales Tax Payable represents a company's liability to the government for sales taxes collected. True O F...
The account Sales Tax Payable represents a company's liability to the government for sales taxes collected. True O False Peter Inc. manufactures and sells computer monitors with a three-year warranty. Warranty costs are expected to average 8% of sales during the warranty period. The following table shows the sales and actual warranty payments during the first two years of operations: (Click to view the sales and actual warranty payments during the first two years of operations.) Based on these facts,...
The following is a partial year-end adjusted trial balance. Account Title Debits Credits Sales revenue 330,000...
The following is a partial year-end adjusted trial balance. Account Title Debits Credits Sales revenue 330,000 Loss on sale of investments 28,000 Interest revenue 5,500 Cost of goods sold 175,000 General and administrative expenses 43,000 Restructuring costs 53,000 Selling expenses 26,500 Income tax expense 0 Income tax expense has not yet been recorded. The income tax rate is 40%. a. Determine the operating income (loss). b. Determine the income (loss) before income taxes. c. Determine the net income (loss).
Instructions Record the following selected transactions: (a) Sold $900 of merchandise on account, subject to 7% sales tax. The cost of the merchandise sold was $510 (b) Paid $436 to the state sales tax department for taxes collected. Required: Journalize the entries. Refer to the Chart of Accounts for exact wording of account titles. Who is responsible for the freight cost when the terms are FOB destination? a. the seller b. the customer c. either the buyer or the seller...
Nhat are the differences between Periodic and Perpetual Inventory When Sales Taxes are collected by the seller, who's revenue is it? Name 1:er
True-Pake F 1. FOB shipping point means the seller incurs the shipping costs. A company is more likely to know the amount of inventory on hand at any time if it uses 2. the perpetual system than if it uses the periodic system. ue less cost of goods sold equals gross profit. of F 3. Net sales revenue T sales discounts and sales returns/allowances equals net sales. 5. A reduction given by the seller for sales discount by the seller....
8. SHORT ANSWERS 19 Marks) When the buyer pays the freight costs, which account would be debited in the entry to record the payment under a perpetual Inventory system? (1 mark) the normal operating cycle of a merchandising company longer or shorter than for a service company Briefly explain the main difference between their operating cycles (2 mars 3) Goods that were purchased FOB destination are still in transit when a physical Inventory is being done. Will the seller include...
describe them in your ouwn words.
as a long parragraph
Revenue Recognition Sales revenue is recognized at the time of product shipment or delivery, depending on when control passes, to unaffiliated customers, and when all of the following have occurred: a firm sales agreement is in place, pricing is fixed or determinable, and collection is reasonably assured. Sales are reported net of returns, consumer and trade promotions, rebates and freight allowed. Taxes imposed by governmental authorities on our revenue-producing activities...
Please answer 24 and 26 only
A).22 B).08 24) Data were collected on monthly sales revenues (in $1000s) and monthly advertising expenditures (51005) fora sample of drug sample of drug stores. The regression line relating revenues () to advertising expenditure (X) is estimated to 3+ 9.00x. The correct interpretation of the slope is that for each additional spent on advertising, predicted sales revenue decreases by $9000. be y =-48. A) $100 B) $1 spent on advertising, predicted sales revenue increases...
EX#2 - Glossary: Define an inventory system in which the company does not maintain detailed records of goods on hand throughout the accounting period and determines cost of goods sold only at the end of the accounting period. A Perpetual inventory system Periodic inventory system Just-in-Time Inventory System 0. Specific Identification Inventory Method TEXA2-Glossary: A perpetual inventory System Als updated each time an Her is purchase and updates cost of goods sold. B. Uses optical scanners and bar codes to...
The account Sales Tax Payable represents a company's liability to the government for sales taxes collected. True O False Peter Inc. manufactures and sells computer monitors with a three-year warranty. Warranty costs are expected to average 8% of sales during the warranty period. The following table shows the sales and actual warranty payments during the first two years of operations: (Click to view the sales and actual warranty payments during the first two years of operations.) Based on these facts,...
Most questions answered within 3 hours.
-
At a certain temperature, the equilibrium constant, Kc, for this
reaction is 53.3.
H2(g)+I2(g)−⇀↽−2HI(g)Kc=53.3
At this...
asked 49 minutes ago -
Question1 ) The STL provides similiar classes called stack and
queue, both of which gave functions...
asked 1 hour ago -
For Questions 1-4, assume you have 5 bits available:
1. For (positive) integers: What is the...
asked 1 hour ago -
convert grams into vloume with the density of water being at
.997514 g/cm^3 at 23.1 Celsuis...
asked 3 hours ago -
Foreman company obtained a $20,000, 6% loan on May 1, 2018.
Principal and interest will be...
asked 3 hours ago -
5. Problem 11.05 (Discounted Payback)
eBook
Project L costs $60,000, its expected cash inflows are $14,000
per...
asked 4 hours ago -
1. Which of the following is true about politics and health
organizations?
A. Health organizations are...
asked 4 hours ago -
A space vehicle is coasting at a constant velocity of 18.1 m/s
in the +y direction...
asked 5 hours ago -
5) Use the following balanced equation to answer questions
(a)-(i).
3 Cu(s) + 8 HNO3(aq) →...
asked 5 hours ago -
A three-year maturity bond with a 12% annual coupon rate is
currently traded at par $1000...
asked 5 hours ago -
1.
What is the minimum volume to use in the Spec 20 cuvette in order
to...
asked 6 hours ago -
A builder wants to install wall-to-wall carpeting in a living
room of length 8.87 m and...
asked 6 hours ago