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Sales Tax Chapter -05 21) A business which is not Sales tax registered, purchases goods on credit from a business which is Sales tax registered
Sales Tax Chapter -05 21) A business which is not Sales tax registered, purchases goods on credit from a business which is Sales tax registered of $100 plus Sales tax@17.5%. What entry will be passed in the books of business, which is not registered for Sales tax? a) Debit purchases $100, credit Sales tax $17.5, credit creditors $117.5 b) Debit purchases $100, debit Sales tax $17.5, credit creditors $117.5 c) Debit purchases $117.5, credit creditors $117.5 d) Debit purchases $117.5, debit Sales tax $17.5, credit creditors $135
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