1. If a business passes on the maximum GET and county surcharge allowed to its customer on a $200 retail sale, how much does the business pay to the state for general excise tax and county surcharge? Show the computation.

2. A Hawaii company imports goods to resell at wholesale. The company sells these goods wholesale to a retailer. Then the retailer sells these goods to a customer.

a) Does the wholesaler owe taxes on the wholesale to the retailer? If yes, what is the tax rate?

b) Does the retailer owe taxes on the retail sale? If yes, what is the tax rate?