Welcome to Study Room, where you can ask questions and receive answers from other members of the community.
Help get things started! Simple pick and answer 1 or more questions to help those who are in need of your help. This site was mainly created for grade 10 - 12 pupils to exchange questions and answers. I' the admin of the site do try answering some of the questions but just because of the heavy load of work I have to attend on the site as a sole admin. I do really need some help.
0 votes
702 views
in Grade 12 by Master (866k points)

Wandile Traders is a VAT registered business. The standard rate of VAT is 14%.

The bookkeeper, Felix, prepared the VAT Control Account for the tax period ended 31 May 2015 and arrived at a VAT payable amount of R43 820.   However, the internal auditor has identified the following errors and omissions which must still be brought into account to calculate the correct VAT payable amount:

A. Sales invoices omitted from the Debtors' Journal, including VAT R10 830
B. Damaged goods returned to suppliers, excluding VAT   18 600
C. VAT on sundry business expenses omitted     6 818
D. VAT on discounts received from suppliers       756
E. VAT on bad debts recovered       112
F. VAT on bad debts was recorded on the wrong side of the VAT Control Account         92

1 Answer

0 votes
by Master (866k points)
 
Best answer

Calculate the correct amount of VAT the business has to pay. Show ALL workings

43 820 + (1 330 + 2 604+ 112 + 756 ) – (184 + 6 818 )
                       4 802                                    7002
=41 620 

OR 43 820  + 1 330 + 2 604 + 112 + 756 – 184 - 6 818 

OR -43 820  - 1 330 - 2 604 - 112 - 756 +  184 + 6 81

VAT Control
184 43 820
6 818 1 330
41 620 2 604
112
756
48 622 48 622

Related questions

0 votes
0 answers
0 votes
0 answers
asked Jul 27 in Grade 12 by Khomo maleqwa
0 votes
1 answer
asked May 16, 2018 in Grade 12 by anonymous
0 votes
1 answer
asked May 9, 2018 in Grade 12 by Memo
No registration is required in order to post/ask, comment and or answer any question on this forum. Please note this website was created to help learners discuss their school work with other learners and teacher from anywhere around South Africa for free. Why Free? We generate our revenue through adverts to keep the forum running 24/7
Welcome to Study Room, where you can ask questions and receive answers from other members of the community. Members/Users are also allowed to answer any questions or add comments. If you think a certain answer is wrong or slightly incorrect' please use the comment button below the answer to add your suggestion.

Let's see how smart you are Click/Touch Here To help other students on their questions

...