Exercise 10-4 Date Account Titles and Explanation Debit Credit Show List of Acco
ID: 2465274 • Letter: E
Question
Exercise 10-4
Date
Account Titles and Explanation
Debit
Credit
Show List of Accounts
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Date
Account Titles and Explanation
Debit
Credit
Exercise 10-4
In providing accounting services to small businesses, you encounter the following situations pertaining to cash sales.1. Furcal Company enters sales and sales taxes separately on its cash register. On April 10, the register totals are sales $38,000 and sales taxes $1,900. 2. Crystal Company does not segregate sales and sales taxes. Its register total for April 15 is $17,280, which includes a 8% sales tax.
Explanation / Answer
Prepare the entries to record the sales transactions and related taxes for Furcal Company:
April 10
Debit Cash $39900
Credit Sales Revenue $38000
Credit Sales Tax payable $1900
Prepare the entries to record the sales transactions and related taxes for Crystal Company:
April 15
Debit Cash $17280
Credit Sales Revenue $1600
Credit Sales Tax payable $1280
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