JellyFelly sold a lamp to a cash customer, the retail price was $299.99 and sales tax is 9%. The journal entry to record this transaction would include a: O Debit to Cash for $299.99 • Credit to Sales Revenue for $326. O Credit to Sales Tax Payable $27. O Debit to Sales Revenue for $299.99

JellyFelly sold a lamp to a cash customer, the retail price was $299.99 and sales tax is 9%. The journal entry to record this transaction would include a: O Debit to Cash for $299.99 • Credit to Sales Revenue for $326. O Credit to Sales Tax Payable $27. O Debit to Sales Revenue for $299.99

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

JellyFelly sold a lamp to a cash customer, the retail price was $299.99 and sales tax is 9%.

The journal entry to record this transaction would include a:

O Debit to Cash for $299.99

• Credit to Sales Revenue for $326.

O Credit to Sales Tax Payable $27.

O Debit to Sales Revenue for $299.99

Definition Definition Method of recording financial transactions in the book of original entry by debiting and crediting the accounts affected by a transaction using the golden rules of accrual accounting.

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