A company sells $180,000 (sales price) of goods and collects sales tax of 8%. What current liability
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A company sells $180,000 (sales price) of goods and collects sales tax of 8%. What
current liability does the sale create?
a. Sales tax payable of $14,400
b. Sales revenue of $194,400
c. Unearned revenue of $14,400
d. None; the company collected cash up front.
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Related Book For
Horngrens Financial And Managerial Accounting The Managerial Chapters
ISBN: 9781292412337
7th Global Edition
Authors: Tracie Miller Nobles, Brenda Mattison, Ella Mae Matsumura
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