Accounting Assignment | College Homework Help
March 17th, 2020
Retur Exercise 7-4 Recognizing sales tax payable LO 7-2 The following information applies to the questions displayed below.) The following selected transactions apply to Topeca Supply for November and December 2018. November was the first month of operations. Sales tax is collected at the time of sale but is not paid to the state sales tax agency until the following month. 
1. Cash sales for November 2018 were $65,000 plus sales tax of 7 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, 2018 3. Cash sales for December 2018 were $83,000 plus sales tax of 7 percent. Exercise 7-4 Parta Required
1. Cash sales for November 2018 were $65,000 plus sales tax of 7 percent. 2. Topeca Supply paid the November sales tax to the state agency on December 10, 2018 3. Cash sales for December 2018 were $83,000 plus sales tax of 7 percent. Exercise 7-4 Parta Requireda. Show the effect of the above transactions on a statements model like the one shown as follows. In the Cash Flow column, indicate whether the item is an operating activity (OA), an investing activity (IA), or a financing activity (FA). If an element is not affected by the event, leave the cell blank. (Enter any decreases to account balances and cash outflows with a minus sign.) Assets – + TOPECA SUPPLY Horizontal Statements Model Stockholder’s Equity Income Statement Common Retained Revenue Expense Net Income Stock Earnings – Liabilities Sales Tax Payable Event Statement of Cash Flows Cash Get Accounting Homework Help today
