Question

On March 25, 2014, Patton Company sold merchandise on account,$10,000. The applicable sales tax percentage is 8.5%. Record the transaction.

Answer 1

Kindly see attached picture

Step-by-step explanation:

Sales tax percentage= 8.5%

Sales = 10,000

Sales tax payable = 0.085 × 10000 = 850

Accounts payable = 10000 + 850 = 10850

Kindly see attached picture for journal entry