Accounting Question: The following are independent situations: Record the sales transactions and related taxes for each client. Show steps please. 1. Max rang up $14,000 of sales, plus HST of 13%, on it's cash register on April 10. 2. Quince rang up $35,400 of sales, before sales taxes, on its cash register on April 21. The company charges 5% GST and No PST. 3. Jace charges 5% GST and 7% PST on all sales. On April 27, the company collected $23,200 sales in cash plus sales taxes.
Bad Debts
At the end of the accounting period, a financial statement is prepared by every company, then at that time while preparing the financial statement, the company determines among its total receivable amount how much portion of receivables is collected by the company during that accounting period.
Accounts Receivable
The word “account receivable” means the payment is yet to be made for the work that is already done. Generally, each and every business sells its goods and services either in cash or in credit. So, when the goods are sold on credit account receivable arise which means the company is going to get the payment from its customer to whom the goods are sold on credit. Usually, the credit period may be for a very short period of time and in some rare cases it takes a year.
Accounting Question:
The following are independent situations:
Record the sales transactions and related taxes for each client. Show steps please.
| 1. Max rang up $14,000 of sales, plus HST of 13%, on it's cash register on April 10. |
| 2. Quince rang up $35,400 of sales, before sales taxes, on its cash register on April 21. The company charges 5% GST and No PST. |
| 3. Jace charges 5% GST and 7% PST on all sales. On April 27, the company collected $23,200 sales in cash plus sales taxes. |
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