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TR Company conducts business exclusively in State V, which levies a 5 percent sales and use tax on goods purchased or consumed in-state. This year,
TR Company conducts business exclusively in State V, which levies a 5 percent sales and use tax on goods purchased or consumed in-state. This year, TR bought equipment in State B. The cost of the equipment was $128,000, and TR paid $7,680 sales tax to State B. TR also bought machinery in State D. The cost of the machinery was $252,000, and TR paid $9,080 sales tax to State D. Required: a. How much use tax does TR Company owe to State V with respect to the equipment bought in State B? b. How much use tax does TR Company owe to State V with respect to the machinery bought in State D? Complete this question by entering your answers in the tabs below. Required A Required B How much use tax does TR Company owe to State V with respect to the equipment bought in State B? Amount Pre credit use tax Sales tax paid to State B Use tax owed to State V
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