Question: Short question 5 A company, which is registered for Value Added Tax (VAT), is purchasing a product for 1,200 on credit. The purchase price includes

Short question 5 A company, which is registered for Value Added Tax (VAT), is purchasing a product for 1,200 on credit. The purchase price includes VAT at 20%. Required What is the appropriate journal entry (debit and credit entries) for recording this transaction? (2 marks)

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