Sales taxes collected by a company on behalf of the state and local governments are recorded by:
A) A debit to an expense account.
B) A credit to a revenue account.
C) A debit to a revenue account.
D) A credit to a liability account.
Answer: D
A) A debit to an expense account.
B) A credit to a revenue account.
C) A debit to a revenue account.
D) A credit to a liability account.
Answer: D
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