Question

On March 25, Osgood Company sold merchandise on account, $3,200 terms n/30. The applicable sales tax percentage is 6%. Record the transaction. If an amount box does not require an entry, leave it blank. Mar. 25

Answer 1

Answer:

the transaction record as given below

Explanation:

given data

sold merchandise =  $3,200

terms n/30

sales tax percentage = 6%

solution

as here with 6% sale tax payable is

sale tax payable = 6% of 3,200 = $192

and account Receivable will be $192 + $3200 = $3392

so

we get here the transaction record that is as

date         title                                    Dr.              Cr.

25-Mar    Accounts Receivable        3392    

               Sale                                                      3200

               Sales tax payable                                192

25-Mar    Cost of goods sold      

               Inventory