Answer:
Date General Ledger Dr. Cr.
1. September 30 Cash $6,300
Sales Tax Payable $300
Sales $6,000
2. September 30 Cost of Goods Sold $3,900
Merchandise Inventory $3,900
3. October 15 Sales Tax Payable $300
Cash $300
Explanation:
Sales Tax is subject to the price of merchandise. Sales tax is collected by the business on the taxable supplies on the behalf of government and paid to the government.
Sales tax amount = 6,000 x 5% = $300
Cost of Merchandise is recorded as cost of goods sold and deducted from the merchandise inventory.
An increase in government spending of $300 billion and a tax cut of $300
billion will have equal effects on the budget balance and unequal effects on
real Gross Domestic Product (GDP). Expansionary will be the effect of a
government deficit.
Answer:
$20,000
$80,000
Explanation:
Fixed cost is the cost that does not vary with output.
Fixed costs = cost of interest + other yearly fixed cost
(0.05 x $80,000) + $16,000= $20,000
Total cost is the sum of fixed and variable cost.
Variable cost is the cost that varies with output. If output is zero, variable cost would be zero.
Total cost = fixed cost + variable cost
= $20,000 + $60,000 = $80,000
Answer: Assets are listed in descending order of liquidity
Explanation:
According to accountant principles, the assets are always listed starting with the most liquid asset. It has the special purpose of helping to the shareholders and company owners to know what assets are easily sold and become in cash flow. The most liquid asset is always the cash, it is the first in the list. Commonly the second asset listed is the inventory, then we have ththe realizable value ( it includes bonds, stocks and other stock market elements), followed by the elements available for sell, at the end we can find listed long term resources including fixed assets and intangible assets.
