Question

On Deck Sports Memorabilia store sells a Babe Ruth rookie card for $4,100 on account. If the sales tax on the sale is 7%, what is the amount debited to Accounts Receivable

Answer 1

Answer and Explanation:

Amount debited to accounts receivable

= 4800 + Sales tax of 8%

= 4800 + (4800*8%)

= 4800 + 384

= 5184