Excise Taxes}

Yossarian Power Corporation provides electricity to a wide area of eastern Alberta. During March 2018, it billed 3,000 of its residential customers located in the town of Maryville a total of \(\$ 393,000\) for electricity. In addition, Yossarian Power is required to collect the following taxes:

a. Alberta Excise Tax: A tax of \(\$ 3.50\) per customer plus \(2 \%\) of billing used to fund the Alberta Energy Commission

b. Federal Excise Tax: A tax of \(\$ 0.50\) per customer plus \(0.15 \%\) of billing used to fund the Federal Energy Commission

\section*{Required:}

1. Determine how much Yossarian Power will bill these 3,000 customers in total for the month of March 2018 .

2. Prepare the entry to record the billing of these amounts.

3. Prepare the entry to record the collection of these amounts.

4. Prepare the entry to record the payment of the federal and provincial excise tax to the appropriate government unit.

\section*{Problem