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Permits were obtained from the state for installations in 2016. The permit fees charged by the state and paid in cash were $2000, the fees

Permits were obtained from the state for installations in 2016. The permit fees charged by the state and paid in cash were $2000, the fees charged by Ozark are $500. The $2,500 was charged to customer receivable account.

Hint: The $2,000 is a direct debit to accounts receivable. Only the fee is revenue Neither amount is subject to sales tax.

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