On December 10, 2021, Ruth Incorporated sold items to Mavic Incorporated with an invoice price of 156,500 inclusive of 12% VAT, Terms 2/10, n/30 The term is FOB shipping point freight prepaid. As of December 10, 2021 the goods are still at the middle of Pacific Ocean and Ruth already paid the freight amounting to P13,440 inclusive of VAT of 12%. Ruth gave an allowance of P 22, 100 to Mavic due to slight defects. The balance of Output tax account of Ruth as of December 20, 2021 upon full payment was P?

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Lets call the total VAT amount as V The VAT amount on the invoice ... View the full answer