Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Exercise 10-4 In performing accounting services for small businesses, you encounter the following situations pertaining to cash sales. 1.Cerviq Company enters sales and sales taxes

Exercise 10-4

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

1.Cerviq Company enters sales and sales taxes separately on its cash register. On April 10, the register totals are sales $22,000and sales taxes $1,100.2.

Quartz Company does not segregate sales and sales taxes. Its register total for April 15 is $13,780, which includes a6% sales tax.

(a)

Prepare the entry to record the sales transactions and related taxes for Cerviq Company.

Date

Account Titles and Explanation

Debit

Credit

Apr. 10

(b)

Prepare the entry to record the sales transactions and related taxes for Quartz Company.

Date

Account Titles and Explanation

Debit

Credit

Apr. 15

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Financial Statement Analysis And Security Valuation

Authors: Stephen H Penman

4th Edition

0073379662, 9780073379661

More Books

Students also viewed these Accounting questions

Question

What is project finance?

Answered: 1 week ago

Question

Summarize the goal of humanistic psychotherapy.

Answered: 1 week ago

Question

Relax your shoulders

Answered: 1 week ago

Question

Keep your head straight on your shoulders

Answered: 1 week ago