1. Sweet Water Enterprise sells a mixture of supplies at the standard rate, exempt, and zero rates. The company made the following transactions during the month of March 2021:

TRANSACTIONS

AMOUNTS

Computer supplies are exclusive of GCT……….. Sales are inclusive of GCT…………………….. Sales included some exempt items…………. Sales included some zero-rated items………. Purchased machinery exclusive of GCT…… Bought office staff protective equipment inclusive of GCT……………………………. GCT on returns inwards totaled…………… The business bought a small truck for business purposes excluding GCT Purchases of standard-rated products for resale (excluding GCT) Bad debts are written off exclusive of GCT…….. Purchase of imports that qualify for credit (inclusive of GCT)……………………………

$ 100,000 17,840,000 230,500 100,000 500,000 85,638 41,610 3,200,000 8,474,000 65,625 $100,000

Required:

1. Using the current rate compute GCT liability for the Month of March 2021 using an excel spreadsheet.

Answer rating: 100% (QA)

GCT Rate 15 Sales 1500 bought office staff protective equipment 7500 return inwards 128... View the full answer