Required information Exercise 9-4A (Algo) Recognizing sales tax payable LO 9-2 [The following information applies to the questions displayed below.] The following selected transactions apply to Topeca Supply for November and December Year 1 November was the first month of operations. Sales tax is coliected at the time of sale but is not paid to the state sales tax agency until the following month. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 10 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, Year 1 . 3. Cash sales for December Year 1 were $80,500 plus sales tax of 10 percent. Exercise 9-4A (Algo) Part a Required a. Record the effect of the given tranisactions in a horizontal statements model. Note: In the Cosh Flow column, use the initials "OA" for operating activities, "FA" for financing activities, and "IA" for investing activity. Enter any decreases to account bolances and cosh outflows with a minus sign. Not all cells require input. Required information Exercise 9-4A (Algo) Recognizing sales tax payable LO 9.2 [The following information applies to the questions displayed below] The following selected transactions apply to Topeca Supply for November and December Year 1 November was the first month of operations. Sales tax is collected at the time of sale but is not paid to the state sales tax agency until the following monsth. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 10 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10 , Year 1. 3. Cash sales for Decembet Year 1 were $80,500 plus sales tax of 10 percent. Exercise 9-4A (Algo) Port b b. What was the total amount of sales tax paid in Yeat 17 Required information Exercise 9-4A (Algo) Recognizing sales tax payable LO 92 [The following information applies to the questions displayed below.] The following selected transactions apply to Topeca Supply for November and December Year 1 . November was the first manth of operations. Sales tax is collected at the time of sale but is not paid to the state sales tax agency until the following month. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 10 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, Year 1. 3. Cash sales for December Year 1 were $80,500 plus sales tax of 10 percent. Exercise 9.4A (Algo) Port c c. What was the total amount of sales tax collected in Year 1? Required information. Exercise 9.4A (Algo) Recognizing sales tax payable LO 9.2 [The following information applies to the questions displayed below.] The following selected transactions apply to Topeca Supply for November and December Year 1 . November was the first month of operations. Sales tax is collected at the time of sale but is not paid to the state sales taxagency until the following month. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 10 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, Year 1. 3. Cash sales for December Year 1 were $80,500 plus sales tax of 10 percent. Exercise 9.4A (Algo) Part d d. What is the amount of the sales tax liability as of December 31 . Year 1 ? Required information Exercise 9-4A (Algo) Recognizing sales tax payable LO 9.2 The following information applies to the questions displayed below] The following selected transactions apply to Topeca Supply for November and December Year 1 . November was the first month of operations, Sales tax is collected at the time of sale but is not paid to the state sales tax agency until the following month. 1. Cash sales for November Year 1 were $65,500 plus sales tax of 10 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10 , Year 1 . 3. Cash sales for December Year 1 were $80,500 plus sales tax of 10 percent. Exercise 9-4A (Algo) Part e e. On which financial statement will the sales tax liability appear
