GST Collected on Sales Is Accumulated in a Liability Account

question 27

Multiple Choice

GST collected on sales is accumulated in a liability account called GST payables and GST paid on purchases is accumulated in an account with a debit balance called GST receivables. What type of account is GST receivables?

• A) Asset
• B) Expense
• C) Contra expense
• D) Contra liability

Understand the spectrum and distinctive features of social enterprises.

Recognize the historical context of government spending on social programs in the United States.

Differentiate between charity and philanthropy.

Identify the legal classification of museums and other organizations by the Internal Revenue Service.

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Definitions:

Lack of Infrastructure

Refers to the insufficiency or absence of physical and organizational structures and facilities required for the operation of a society or enterprise.

Economic Growth

An increase in the production of goods and services in an economy over a period of time, often measured as the rate of increase in real GDP.

Law Enforcement

The system by which some members of society act in an organized manner to enforce the law by discovering, deterring, rehabilitating, or punishing people who violate the rules and norms governing that society.

Advanced Technologies

Modern and cutting-edge technologies that offer significant improvements over existing technologies in terms of performance, efficiency, or capabilities.