Cantrell Company is required by law to collect and remit sales taxes to the state. If Cantrell has $8,640 of cash sales on a certain day, which include an 8% sales tax, what is the journal entry to record the cash sales?

Select one:

a. Debit Cash $8,640; credit Sales $8,000; credit Sales Taxes Payable $640.

b. Debit Cash $9331.2; credit Sales $8,6400; credit Sales Taxes Payable $691.2.

c. Debit Sales Taxes Payable $640; debit Cash $7,360; credit Sales $8,000.

d. Debit Cash $8,000; Debit sales taxes expense 640; credit Sales $8,640.