minenhle2345 minenhle2345

20-05-2024
Business

Answered

The following information relates to Sammy Dealers, which is registered as a VAT vendor and uses the periodic inventory system. VAT at 15% is applicable. The business's VAT period ends in unequal months.
As per the trial balance on 30 June 2022, Sammy Dealers owes Vice Traders R5 520. Sammy Dealers settled the account of R5 520 on 1 July 2022. A settlement discount of 5% was granted by Vice Traders.
What will the correct entries be of the given transaction in the books of Sammy Dealers?
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