Derby Traders sold trading stock on credit to C Cruz for R 1 250 (including VAT), invoice 09. The amount of VAT that will be recorded in the general journal entry for this transaction is: R153.51 R175 R187.5 R163.04
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Africa Traders is a registered VAT vendor and uses the periodic inventory system. The VAT rate is 15%. Africa Traders buys and sells furniture and equipment for cash or on credit. On 1 March 2021, Africa Traders purchased furniture on credit from SA Suppliers to the amount of R26 330. On 27 April 2021, Africa Traders settled their account and received R1 835 discount for early settlement. On the same day Africa Traders purchased furniture on the clearance sale. The selling price of the furniture was R10 830 (excluding VAT). Africa Traders paid cash and received a further 15% cash discount on the selling price. Required: What amount will be recorded in the VAT Input column of the cash payments journal of Africa Traders on 27 April 2021? NB: Instructions 1. Do not type the amount with any spaces as separators for thousands (eg: 12141.72) 2. Use a full stop to indicate any decimals (eg: 1000.01) 3. You must enter cents even if it is 0 (eg .00) 4. Only show the amount, do not show the R (eg: 12141.72)
Anand J.
Breanna O.
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