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 201 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 Sales Slip 1615 for $4,790 plus sales tax of $383.20. 5 Sold three recliners to Jacqueline Moore; issued Sales slip 1616 for $2,350 plus sales tax of $188. 9 Sold a dining room set to Hazel Tran; issued Sales Slip 1617 for 56,550 plus sales tak of $524. 11 Accepted a return of one domaged recliner from jacqueline Moore that was originally sold on 5ales slip 1616 of February 5 ; issued Credit Memorandum 792 for $1,926, which includes sales tax of $76. 17 Sold living roon tables and bookcases to Ann Brown; issued 5ales 51ip 1618 for $9,550plus sales tax of 5764 . 23 Sold eight dining rooe chalrs to Doningo 5alas; 1ssued Sales 51ip 1619 for 53,650 plus sales tax of $292. 25 Gave Ann Erown an allowance for scratches on her bookcoses) 1ssued Credit Henorandue 703 for $702, which includes soles tax of \$52; the bookcases wece originally sold on 5 ales 51 ip 161 a of Februsary 17. 27 sold a living room sofa and four chairs to Jose Saucedo: 1 s5ued Sales 51ip 1620 for 34,225 plus sales tax of $338. 20 Sold a dining room table to Miel Yukl; Issued Sales 511p1621 for $2, 050 plus sales tax of $164. 28 Sold a Hiving room modular wall unit to Alan Baker; issued 5ales silip 1622, fon 53 , 90e plus sales tax of 5312. GENERAL LEDGER ACCOUNTS 111 Accounts feceivable, $16,636Dr. 231 Sales Tax Payable, 97,270Cr. 491 Sales 451 Sales Returns and A1lounnces Prepare the revenue section of the income statement for the month ended February 28,201. 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.) 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 201 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 Sales Slip 1615 for $4,790 plus sales tax of $383.20. 5 Sold three recliners to Jacqueline Moore; issued Sales slip 1616 for $2,350 plus sales tax of $188. 9 Sold a dining room set to Hazel Tran; issued Sales Slip 1617 for 56,550 plus sales tak of $524. 11 Accepted a return of one domaged recliner from jacqueline Moore that was originally sold on 5ales slip 1616 of February 5 ; issued Credit Memorandum 792 for $1,926, which includes sales tax of $76. 17 Sold living roon tables and bookcases to Ann Brown; issued 5ales 51ip 1618 for $9,550plus sales tax of 5764 . 23 Sold eight dining rooe chalrs to Doningo 5alas; 1ssued Sales 51ip 1619 for 53,650 plus sales tax of $292. 25 Gave Ann Erown an allowance for scratches on her bookcoses) 1ssued Credit Henorandue 703 for $702, which includes soles tax of \$52; the bookcases wece originally sold on 5 ales 51 ip 161 a of Februsary 17. 27 sold a living room sofa and four chairs to Jose Saucedo: 1 s5ued Sales 51ip 1620 for 34,225 plus sales tax of $338. 20 Sold a dining room table to Miel Yukl; Issued Sales 511p1621 for $2, 050 plus sales tax of $164. 28 Sold a Hiving room modular wall unit to Alan Baker; issued 5ales silip 1622, fon 53 , 90e plus sales tax of 5312. GENERAL LEDGER ACCOUNTS 111 Accounts feceivable, $16,636Dr. 231 Sales Tax Payable, 97,270Cr. 491 Sales 451 Sales Returns and A1lounnces Prepare the revenue section of the income statement for the month ended February 28,201. 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.)
