Answered step by step
Verified Expert Solution
Question
1 Approved Answer
please help Towncenter Furniture specializes in modern living room and dining room furniture. Merchandise sales are subject to an 8 percent sales tax. The firm's
please help
Towncenter Furniture specializes in modern living room and dining room furniture. Merchandise sales are subject to an 8 percent sales tax. The firm's credit sales and sales returns and allowances for February 20X1 are reflected below, along with the general ledger accounts used to record these transactions. The balances shown are for the beginning of the month. DATE TRANSACTIONS Feb. 1 Sold a living roon sofa to Sun Yoo; issued Sates Slip 1615 for s4, 790 plus sates tax of $383.20. 5 Sold three rectiners to Jacqueline Moore; 1ssued Sates 5 lip 1616 for $2,350 plus sales tax of $188. 9 Sold a dining room set to Hazel Tran; issued Sates Stip 1617 for $6,550 plus sales tax of $524. 11 Accepted a return of one daselged recliner from Jacqueline Moore that was originally sold on Sates Stip 1616 of February 5; issued Credit Menorandum 702 for $1,026, which includes sales tax of \$76.00. 17 Sold Living room tables and bookcases to Ann Brown; issued Sales 51ip1618 for $9,550 plus sales tax of $764. 23 Sold eight dining roon chairs to Doningo Salas; issued Sales Slip 1619 for $3,650 plus sales tax of $292. 25 Gave Ann Bromn an atlowance for scratches on her bookcases; 15sued Credit Menorandum 703 for $702, which includes sales tax of $52; the bookcases were originatly sold on Sales Stip 1618 of February 17. 27 Sold a Living room sofa and four chairs to Jose Saucedo; issued Sales stip 1620 for $4,225 plus sates tax of 5338. 28 Sold a dining room table to Mini Yuki; issued Sates Slip 1621 for \$2,050 plus sales tax of \$164. 28 Sold a Living room nodutar wall unit to. Atan Baker; issued Sates sip 1622 for $3,900 plus sales tax of $312. GENERAL LEDGER ACCOUNTS 111 Accounts Receivable, $16,636 Dr. 231 Sales Tax Payable, 57,270Cr. 451 Soles Returns and Atlowances Required: 1. Open the general ledger accounts and enter the balances for February 1. 2. Record the transactions in a sales journal and in a general journal. 3. Post the entries from the general journal to the general ledger. 4. Total and prove the sales journal as of February 28. 5. Post the column totals from the sales journal. 6. Prepare the heading and the Revenue section of the firm's income statement for the month ended February 28,201. Analyze: Based on the beginning balance of the Sales Tax Payable account, what was the amount of net sales for January? (Hint: Sales tax returns are filed and paid to the state quarterly.) Complete this question by entering your answers In the tabs below. Prepare a sales journal to record the above transactions. (Round your answers to 2 decimal places.) Complete this question by entering your answers in the tabs below. Prepare general journal entries as needed. Complete this question by entering your answers in the tabs below. Post the opening balances, column totals from the sales joumal, and other transactions into the appropriate ledger accounts. (Rour decimal places.) Complete this question by entering your answers in the tabs below. Prepare the revenue section of the income statement for the month ended February 28,201. Complete this question by entering your answers in the tabs below. Based on the beginning balance of the Sales Tax Payable account, what was the amount of net sales for January? (H tax returns are filed and paid to the state quarterly.) Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started