1. A customer purchased a product that has a catalog price of P100,000. The terms of the purchase was 10%, 20%, 1/10, n/45. What amount is debited to input tax if the company uses a perpetual inventory system and that the purchase in exclusive of VAT?

 

1. Goods costing P48,000 were sold on account to a customer with 2/10, n/30 credit terms. 5 days after the sale, the customer returned goods amounting to P8,000. On the 10th day after the sale, the company received the payment from the customer. What is the amount debited to sales returns and allowances on the date of returns?

 

1. Goods costing P48,000 were sold on account to a customer with 2/10, n/30 credit terms. 5 days after the sale, the customer returned goods amounting to P8,000. On the 10th day after the sale, the company received the payment from the customer. What is the amount debited to cash on the date of collections?

 

Answer rating: 100% (QA)

For the first scenario the amount debited to input tax would be 10 of the ca... View the full answer