Question

united gaming completed the following transactions during 2025
view the transactions
journalize the transactions (explanations are not required) round to the nearest dollar (record debits first, then credits exclude explanations from journal entries )
oct 1 sold a six - month subscription (starting on november 1), collecting cash of $540, plus sales tax of 8% (prepare a single compound entry for this transaction )
nov 15 remitted (paid) the sales tax to the state of tennessee

Explanation:

Step1: Analyze the transaction

When remitting (paying) the sales tax, the liability (Sales Tax Payable) is being settled.

Step2: Determine the accounts

Debit Sales Tax Payable (to reduce the liability) and credit Cash (as cash is being paid out).

Answer:

Date	Accounts	Debit	Credit
	Cash		43