In a VAT-registered traders books and assuming the VAT rate of 17.5% unless advised otherwise. Payment by
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In a VAT-registered trader’s books and assuming the VAT rate of 17.5% unless advised otherwise.
Payment by cheque of £5,640 for customer entertainment should be accounted for as:
(a) Debit Customer entertainment account £5,640, credit Bank account £5,640
(b) Debit Customer entertainment account £4,800, credit Bank account £4,800
(c) Debit Customer entertainment account £4,800, debit VAT a/c £840, credit Bank account £5,640
(d) Debit Customer entertainment account £5,640, credit VAT a/c £840, credit Bank account £4,800
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Related Book For
Financial Accounting An Introduction
ISBN: 9780273737650
2nd Edition
Authors: Mr Barry Elliott, Mr Augustine Benedict
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