aat receipts, payments and initial trial balance book

KayKay Just JoinedRegistered Posts: 2
hi - i have just started this course last week, i am working thro the workbook and have noticed some of the tasks have incorrect answers?? has anyone else noticed this. e.g. activity 51 - 585.40 has vat of 102.44 - but the answer states this is incorrect and should be 99.37 and that 36.63 vat is correct on 213.60 (s/b 37.38)???? I have noticed at least 3 other errors on differenct subjects!!!

Comments

  • Claire321Claire321 Well-Known Registered Posts: 209
    Hi, I'm not sure which book your using - but does it state in the question anything about a settlement discount for paying the invoice within a certain time?

    For example it looks like in your first example £585.40 if say there was a 3% discount for prompt payment:-
    £585.40 - 3% (£17.56) = £567.84
    VAT would them be 17.5% of £567.84 = £99.37

    Where a settlement discount is offered for prompt payment (within a specified time) the VAT is calculated on the discounted amount - even if the discount is NOT actually taken
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