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Use the following information for questions 14 and 15. Stine Co. is a retail store operating in a state with a 6% retail sales tax.
Use the following information for questions 14 and 15. Stine Co. is a retail store operating in a state with a 6% retail sales tax. The retailer may keep 2% of the sales tax collected. Stine Co. records the sales tax in the Sales account. The amount recorded in the Sales account during May was 148,400. 14. The amount of sales taxes (to the nearest dollar) for May is a. 8,726. b. 8,400. C. 8,904. d. 9,438. 15. The amount of sales taxes payable (to the nearest dollar) to the state for the month of May is a. 8,551. b. 8,232 C. 8,726. d. 9,249. 1 al Use the following information for questions 16 and 17. Vargas Company has 35 employees who work 8-hour days and are paid hourly. On January 1, 2017, the company began a program of granting its employees 10 days of paid vacation each year. Vacation days earned in 2017 may first be taken on January 1, 2018. Information relative to these employees is as follows: Hourly Vacation Days Earned Vacation Days Used Year Wages by Each Employee by Each Employee 2017 25.80 10 0 Page 5 of 7 2018 2019 27.00 28.50 10 10 00 8 10 ntain viruses. Unless you need to edit, it's safer to stay in Protected View because your Office product is inactive. To use for free, sign in and use the Web version, Enable Editing Activate Use free at Office.co 2018 2019 27.00 28.50 10 10 8 10 Vargas has chosen to accrue the liability for compensated absences at the current rates of pay in effect when the compensated time is earned. 16. What is the amount of expense relative to compensated absences that should be reported on Vargas's income statement for 2017? a. 0. b. 68,880. C. 75,600 d. 72,240 17. What is the amount of the accrued liability for compensated absences that should be reported at December 31, 2019? a. 94,920. b. 90,720. c. 79,800. d. 95,760. Use the following information
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