SECTION II: COMPULSORY QUESTIONS (20 MARKS) (B1, C2, C3) Question Five: (10 marks) Ajmal Co. who is registered trader with VAT Directorate of Ministry of Finance of Bahrain. Ajmal Co. is dealing with the products which are standard rated @5%, zero rated and exempt rated. Ajmal is supposed to submit VAT returns on quarterly basses. Following are the transactions of 2020. July 10 Purchased 200 units of Item A from Zahra @BD 200 each (net) on cash. This item is standard rated at the time of purchase and zero rated at the time of sales. July 15 Sold 120 units of Item A for BD 250 (net) to Ahmad on credit. August 22 Purchased 320 units of Item B from Noor worth BD 100 each (net) on cash. This item is standard rated supplies at the time of purchases and sales. August 24 Sold 180 units of Item B @BD 110 (net) on credit to Mazen. September Purchased 115 units of Item C from Jawad worth BD 200 each (net) on cash. This item is standard rated at the time of purchase and exempt rated at the time of sales September Sold 80 units of Item C @BD 210 (net) on credit to Mohammad 2 I 14 September Input VAT claimed. 30 October 24 VAT deposited/ refunded to/from VAT authority. Assume that credit claimed in books of account on September 30,2020 and VAT return is submitted on October 24,2020 with VAT payment or refunded. Instructions: Prepare the Journal entries for above transactions