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6: (12 marks) Tamworth Industries operates in the province of Ontario, where the HST rate is 13%. Tamworth uses a perpetual inventory system. Transactions for
6: (12 marks) Tamworth Industries operates in the province of Ontario, where the HST rate is 13%. Tamworth uses a perpetual inventory system. Transactions for the business in the month of November 2022 are shown below: Nov 1 Paid November store rent to the landlord. Monthly rent payments are $4,800 plus HST. Nov 14 Purchase merchandise inventory on account from various suppliers. The merchandise cost $2,300 plus HST. Nov 17 Sold merchandise on account to various customers totaling $9.800 plus HST. The cost of the merchandise to Tamworth was $6,200. Required: a) Prepare the journal entries to record these transactions on the books of Tamworth Industries. b) Calculate the balance in the HST Payable account at the end of November. c) Calculate the balance in the HST Recoverable account at the end of November. d) How much will Tamworth Industries owe to the Receiver General when they file their next HST return
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