Norlan Company Does Not Ring Up Sales Taxes Separately on the Cash

question 40

Multiple Choice

Norlan Company does not ring up sales taxes separately on the cash register.Total receipts for October amounted to $36,750.If the sales tax rate is 5%, what amount must be remitted to the state for October's sales taxes?

• A)$1,750
• B)$1,838
• C)$88
• D)It cannot be determined.

Understand the concept of flexible and static budgets.

Identify the appropriate activity measure for overhead allocation.

Calculate total overhead costs at different levels of activity.

Determine predetermined fixed overhead rates.

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Definitions:

Explanations

Reasonings given to clarify how or why something happens or is done, providing understanding into the cause-and-effect relationships or mechanisms behind events.

Evolutionary Psychology

A theoretical approach in psychology that explains human thoughts and behaviors as adaptations, evolved to solve problems of survival and reproduction.

Evolutionary Psychology

A theoretical approach in psychology that seeks to explain mental and psychological traits—such as memory, perception, or language—as adaptations, i.e., as the functional products of natural selection.

Evolutionary Psychology

A theoretical approach in psychology that examines mental and psychological traits—such as memory, perception, or language—as adaptations, i.e., as the functional products of natural selection.