Katherine McDonald runs a business called Kate's Confectionery and produced a wide variety of confectionery for domestic
Question:
Katherine McDonald runs a business called Kate's Confectionery and produced a wide variety of confectionery for domestic and export markets. During the December quarter, Katherine held a Christmas party for all her customers to thank them for their business during the year. Katherine also purchased a new car which she uses 70% for business purposes and 30% for personal use. Kate's Confectionery is registered for GST and reports quarterly on an accrual basis. She provides you with the following information relating to the December quarter. All amounts include GSTwhere applicable.
Required: prepare the GST Calculation Worksheet for the December quarter.
INCOME | $ |
Domestic confectionery sales | 195900 |
Export confectionery sales | 51700 |
Domestic freight charges | 9280 |
Domestic freight on export sales, GST free (i.e. freight to the point of departure within Australia) | 3220
|
Prior year Income Tax refund | 6281 |
Discounts provided to customers for early payment (invoiced prior quarter) | 1000 |
Interest charged on overdue accounts | 200 |
Dividends received | 3789 |
Proceeds from sale of old motor vehicle (100% business use) | 8800 |
EXPENSES | $ |
Salaries & wages | 204710 |
Sugar & cocoa | 33400 |
Milk & butter | 13838 |
Packaging supplies | 5850 |
Entertainment - customer Christmas party (non-deductible) | 2050 |
Freight | 7437 |
Interest paid on loans | 590 |
New motor vehicle (70% of this amount is business use and 30% is private use) | 31200 |
Insurance paid (no Stamp Duty) | 120 |
Cleaning | 2450 |
Printing & stationery | 1848 |
International Marketing And Export Management
ISBN: 9781292016924
8th Edition
Authors: Gerald Albaum , Alexander Josiassen , Edwin Duerr