Question 1 Time left 0:25:45
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Sabina's Toys, a registered VAT vendor, buys and sells a variety of toys. The VAT rate is 15%. All goods are sold at a constant mark-up of 12%
and the entity uses the periodic inventory system.
On 29 September 2022, Sabina's Toys sold goods for R1 132.22 (VAT exclusive) on credit to Ms Chala.
Required:
Record the above transaction in the applicable subsidiary journal of Sabina's Toys.
Instructions for numeric responses:
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Round off to the second decimal after the full stop (eg: 50.56)
3. If no amount should be recorded in any of the numeric spaces, please indicate it by filling in a zero ("0")
Sabina's Toys
Sales journal – September 2022
Doc no
Day Details Fol VAT Output Sales Trade receivables
R R R
Ms Chala 198.33 1322.22 1520.55
29
,Question 2
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Africa Traders, a registered VAT vendor, manufactures and sells renewable energy equipment. The VAT rate is 15% and Africa Traders makes use of the periodic
inventory system.
Extract from the financial records of Africa Traders for the month of January 2023:
R
VAT Input account opening balance (1 4 459
January 2023)
VAT Output account opening balance (1 7 216
January 2023)
VAT column in Purchases journal 14 889
VAT column in Sales journal 10 721
VAT column in Purchases returns journal 1 022
VAT column in Sales returns journal 811
Required:
Complete the VAT Input account in the general ledger of Africa Traders for the month ending 31 January 2023.
Instructions:
1. Use a full stop to indicate any decimals (eg: 1000.01)
2. Round off to the second decimal after the full stop (eg: 50.56)
3. If no amount should be recorded in any of the numeric spaces, please indicate it by filling in a zero ("0")
Dr VAT Input B1 Cr
2023 R 2023 R
Jan 1 Balance b/d Jan 1 Balance b/d
4459.00 0
31 31
Trade payables PJ1 14889.00 Trade payables PRJ1 1022.00
Balance c/d Balance c/d
0 18326.00
19348.00 19348.00
, Feb 1 Balance b/d Feb 1 Balance b/d
18326.00 0
Question 3
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Africa Traders is not a registered VAT vendor and buys and sells furniture. Africa Traders sold a dining room table for R8 300. The mark-up percentage on cost
is 25%.
What is the cost price of the product?
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)
Answer: 6640.00
, Question 4
Answer saved
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Africa Traders, a registered VAT vendor, manufactures and sells tables and chairs. The VAT rate is 15%.
AFRICA TRADERS
700 Narrow Drive P O Box 217
PRETORIA VAT registration number PRETORIA 0001
Tel (012) 433–1615 4590223986 Fax (012) 433–1616
Date: 20 January 2021 TAX INVO ICE No: 014
To: SA Traders Payment
169 Tshwane Drive method Cheque/debit card Cash
Pretoria Credit
VAT registration number 4960225750
card Account
Code Description Q ty Total price
TC20 Office table and 1 6 000,00
chair
6 000,00
900,00
Vat @ 15%
Invoice total 6 900,00
Amount tendered 0,00
Change 0,00
VAT included @ 15% 900,00)
E& OE
Which account will be debited and which account will be credited in the accounting records of Africa Traders when recording the above source document?
Select one:
a. Debit the Trade receivable control account with R6 900, and credit the Sales account with R6 000 and the VAT output account with R900.
b. Debit the Trade receivable control account with R6 000 and the VAT output account with R900, and credit the Bank account with R6 900.
c. Debit the Trade receivable control account with R6 900, and credit the Sales account with R6 900.
d. Debit the Sales account with R6 900, and credit the Trade receivable control account with R6 900.
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