0.5 2 Problem: Module 3 Textbook Problem 2 points Check my work Hint Print Learning Objective: 3-2 Show how sales tax liabilities affect financial statements Vail Book Mart sells books and other supplies to students in a state where the sales tax rate is 8 percent. Vail engaged in the following transactions during the year. Sales tax of 8 percent is collected on all sales. 1. Book sales, not including sales tax, for the year amounted to $273,000 cash. 2. Cash sales of miscellaneous items for the year were $145,000, not including tax. 3. Cost of goods sold was $210,000 for the year. 4. Paid $130,000 in operating expenses for the year. 5. Paid the sales tax collected to the state agency. Required a. What is the total amount of sales tax Vail Book Mart collected and paid for the year? b. What is the Vail Book Mart's net income for the year? a. Sales tax collected b. Net income Problem: Module 3 Textbook Problem 4 Learning Objective: 3-5 Show how bonds issued at face value affect financial statements Milan Company issued bonds with a face value of $260,000 on January 1, Year 1. The bonds had a 8 percent stated rate of interest and a six-year term. The bonds were issued at face value. Interest is payable on an annual basis. Required a. What total amount of interest will Milan Company pay in Year 1 if bond interest is paid annually each December 31? b. What total amount of interest will Milan Company pay in Year 1 if bond interest is paid semiannually each June 30 and December 31? (Do not round intermediate calculations.) a. Total amount of interest b. Total amount of interest Hint Print Problem: Module 3 Textbook Problem 6 Learning Objectives: 3-6 Using the straight-line method show how bonds issued at a discount affect financial statements .3-7 Using the straight-line method show how bonds issued at a premium affect financial statements Required For each of the following situations, calculate the amount of bond discount or premium, if any. (Do not round intermediate calculations.) a. Gray Co. issued $58,000 of 6 percent bonds at 103 1/2 Premium b. Bush, Inc. issued $95,000 of 10-year, 6 percent bonds at 97 1/2. Discount Oak, Inc. issued $195,000 of 20-year, 6 percent bonds at 101. Premium d. Willow Co. issued $137,000 of 15-year, 7 percent bonds at 95. Discount