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

Answer rating: 100% (QA)

GST Calculation Worksheet for Kates Confectionery December Quarter Income Description Amount incl GS... View the full answer