Question: Please help me answer this question! Thank you for all your hard work. I always make sure to upvote correct answers- I really appreciate the
Please help me answer this question! Thank you for all your hard work. I always make sure to upvote correct answers- I really appreciate the work you do.

Exercise 9-3A Recording sales tax LO 9-2 Vail Book Mart sells books and other supplies to students in a state where the sales tax rate is 7 percent. Vail Book Mart engaged in the following transactions for Year 1. Sales tax of 7 percent is collected on all sales. 1. Book sales, not including sales tax, for Year 1 amounted to $280,000 cash. 2. Cash sales of miscellaneous items in Year 1 were $147,000, not including tax. 3. Cost of goods sold was $211,000 for the year. 4. Paid $132,000 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 Vail Book Mart's net income for the year? a. Sales tax collected b. Net income
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
