Exercise 10-05

In performing accounting services for small businesses, you encounter the following situations pertaining to cash sales.

1.		Oriole Company enters sales and sales taxes separately on its cash register. On April 10, the register totals are sales $30,000 and sales taxes $1,500.
2.		Sheridan Company does not segregate sales and sales taxes. Its register total for April 15 is $22,260, which includes a 6% sales tax.

Prepare the entry to record the sales transactions and related taxes for Oriole Company. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
Apr. 10	enter an account title to record the sales transactions and related taxes for Oriole Company on April 10	enter a debit amount	enter a credit amount
	enter an account title to record the sales transactions and related taxes for Oriole Company on April 10	enter a debit amount	enter a credit amount
	enter an account title to record the sales transactions and related taxes for Oriole Company on April 10	enter a debit amount	enter a credit amount

SHOW LIST OF ACCOUNTS
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Prepare the entry to record the sales transactions and related taxes for Sheridan Company. (Credit account titles are automatically indented when amount is entered. Do not indent manually.)

Date	Account Titles and Explanation	Debit	Credit
Apr. 15	enter an account title to record the sales transactions and related taxes for Sheridan Company on April 15	enter a debit amount	enter a credit amount
	enter an account title to record the sales transactions and related taxes for Sheridan Company on April 15	enter a debit amount	enter a credit amount
	enter an account title to record the sales transactions and related taxes for Sheridan Company on April 15	enter a debit amount	enter a credit amount