Great Black Cameras (GBC, a reseller business) operates in Alberta which does not participate in the HST program. The Quick Method remittance rates are 1.8 percent for businesses that purchase goods for resale and 3.6 percent for service providers. During the first quarter of the year, the business has taxable sales of $100,000. Current expenses on which the GST was paid total $28,000. Due to numerous burglaries, GBC spends $40,000 on a sophisticated security system (i.e., a Capital expenditure). All of these amounts are before the inclusion of GST.

Required:

If your answer is GST payable, write a positive number (e.g. 1234). If your answer is GST refund, write a negative number (e.g. -1234). Do not write any commas, brackets or any other signs.

1. Determine the GST payable (refund) using the Regular method...
2. Determine the GST payable (refund) using the Quick method...
3. Indicate which method would be preferable: write “Regular” or “Quick” (without any “ “ signs)...

Answer rating: 100% (QA)

The detailed answer for the above question is provided below D eter mine the GST payable ref und usi... View the full answer