Lowry Industries operates in the province of Ontario, where the HST rate is 13%. Lowry uses...

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Lowry Industries operates in the province of Ontario, where the HST rate is 13%. Lowry uses a perpetual inventory system. Transactions for the business in the month of November 2021 are shown below: Nov 1 Nov 14 Nov 17 Paid November store rent to the landlord. Monthly rent payments are $4,650 plus HST. Purchase merchandise inventory on account from various suppliers. The merchandise cost $2,750 plus HST. Sold merchandise on account to various customers totaling $9,770 plus HST. The cost of the merchandise to Lowry was $6,220. Required: a) Prepare the journal entries to record these transactions on the books of Lowry Industries. b) Calculate the balance in the HST Payable account at the end of November c) Calculate the balance in the HST Recoverable account at the end of November. d) How much will Lowry Industries owe to the Receiver General when they file their next HST return? PART A - Journal Entries Date PART B - Calculate PART C - Calculate PART D - Calculate Description Debit Credit Lowry Industries operates in the province of Ontario, where the HST rate is 13%. Lowry uses a perpetual inventory system. Transactions for the business in the month of November 2021 are shown below: Nov 1 Nov 14 Nov 17 Paid November store rent to the landlord. Monthly rent payments are $4,650 plus HST. Purchase merchandise inventory on account from various suppliers. The merchandise cost $2,750 plus HST. Sold merchandise on account to various customers totaling $9,770 plus HST. The cost of the merchandise to Lowry was $6,220. Required: a) Prepare the journal entries to record these transactions on the books of Lowry Industries. b) Calculate the balance in the HST Payable account at the end of November c) Calculate the balance in the HST Recoverable account at the end of November. d) How much will Lowry Industries owe to the Receiver General when they file their next HST return? PART A - Journal Entries Date PART B - Calculate PART C - Calculate PART D - Calculate Description Debit Credit

Answer rating: 100% (QA)

a Journal Entries Date Nov 1 Debit Rent Expense Ac 4650 Credit Cash Ac 4650 Recorded payment of Nove... View the full answer