A company sells $180,000 (sales price) of goods and collects sales tax of 8%. What current liability

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A company sells $180,000 (sales price) of goods and collects sales tax of 8%. What

current liability does the sale create?

a. Sales tax payable of $14,400

b. Sales revenue of $194,400

c. Unearned revenue of $14,400

d. None; the company collected cash up front.

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Horngrens Accounting Volume 1

ISBN: 9780135359709

11th Canadian Edition

Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura, Carol Meissner, JoAnn Johnston, Peter Norwood

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Question Posted: Feb 02, 2024 05:01 AM

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A company sells $180,000 (sales price) of goods and collects sales tax of 8%. What current liability

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Horngrens Accounting Volume 1

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