FINANCIAL ACCOUNTING: MADE EASY Learning Activity No. 2: Computation of Input and Output Tax Directions: Compute...

 

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FINANCIAL ACCOUNTING: MADE EASY Learning Activity No. 2: Computation of Input and Output Tax Directions: Compute and indicate the following requirements. Show your solution and put your answer on the space provided below the problem. Problem: The following selected account balances were taken from the records of L. Dangase Company, for the month of August 2020. (VAT of 12% is billed separately) Required: Purchases Purchase Returns and Allowances Purchase Discounts Sales Sales Retums and Allowances Sales Discounts 1. Compute the Input Tax. 2. Compute the Output Tax. 25 100,000 10,000 5,000 80,000 6,000 7,000 3. Compute the VAT Payable. 4. Entry to close the Input and Output Tax. 5. Entry to remit VAT Payable to Bureau of Internal Revenue. FINANCIAL ACCOUNTING: MADE EASY Learning Activity No. 2: Computation of Input and Output Tax Directions: Compute and indicate the following requirements. Show your solution and put your answer on the space provided below the problem. Problem: The following selected account balances were taken from the records of L. Dangase Company, for the month of August 2020. (VAT of 12% is billed separately) Required: Purchases Purchase Returns and Allowances Purchase Discounts Sales Sales Retums and Allowances Sales Discounts 1. Compute the Input Tax. 2. Compute the Output Tax. 25 100,000 10,000 5,000 80,000 6,000 7,000 3. Compute the VAT Payable. 4. Entry to close the Input and Output Tax. 5. Entry to remit VAT Payable to Bureau of Internal Revenue.

Answer rating: 100% (QA)

O 3 Amt of Purchases VAT 121 Purchase Retune Allowances Net Purchase Less Discounte 2 Net pucchese ... View the full answer