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Required information [The following information applies to the questions displayed below] Kai operates the Surf Shop in Laie, Hawaii, which designs, manufactures, and customizes surfboards.
Required information [The following information applies to the questions displayed below] Kai operates the Surf Shop in Laie, Hawaii, which designs, manufactures, and customizes surfboards. Hawaii has a hypothetical 4 percent excise tax rate, technically paid by the seller However, the state also allows "tax on tax" to be charged, which effectively means a customer is billed 4.166 percent of the sales price Determine the sales tax the Surf Shop must collect and remit-or the use tax liability the customer must pay for each of the following orders: Note: Leave no answer blank. Enter zero if applicable. Round your intermediate computations and final answers to the nearest whole dollar amount. Note that Hawaii and Nebraska do not tax services. a. Kalani, a Utah customer, places an Internet order for a $1,800 board that will be shipped to Provo, Utah, where the local sales tax rate is 6.85 percent. Sales tax liability Use tax liability
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