Africa Traders is a registered VAT vendor and uses a Perpetual inventory system. Africa Traders buys and sells furniture and equipment to customers for cash or on credit. On 24 February 2021, Africa Traders issued a debit note and returned a portable air conditioner that was purchased on credit from RG wholesalers for a total amount of R5 199 (excluding VAT). Upon the receipts of the debit note and a Portable air conditioner on the 24 February 2021, RG wholesalers issued the following credit note:RG WHOLESALERS7 Smart Street P O Box 3336PRETORIA VAT registration number PRETORIA 0001Tel (012) 429–3931 2277227756 Fax (012) 429–3424 Date: 24 February 2021CREDIT NOTENo: 5859To: Africa Traders, 499 Tshwane Drive PretoriaCodeDescriptionQtyAmount credited (R)PA025Portable Air Conditioner15 199,00Subtotal5 199,00VAT @ 15%779,85Total credit due5 978,85E & OE Which of the following subsidiary journal of Africa Traders has been correctly updated after considering the above credit note received by Africa Traders?Select one:a.PURCHASES RETURNS JOURNAL – February 2021 PRJ1Doc noDayDetailsFolVAT inputInventoryTrade payables585924RG WholesalersCL1R779,85R5 199,00R5 978,85 b.PURCHASES RETURNS JOURNAL – February 2021 PRJ1Doc noDayDetailsFolVAT OutputPurchases returnsTrade payables585924RG WholesalersCL1R779,85R5 199,00R5 978,85 c.SALES RETURNS JOURNAL – February 2021 SRJ1 Doc no Day Details Fol VAT outputSales returns Trade receivables585924RG WholesalersCL1R779,85R5 199,00R5 978,85 d.PURCHASES JOURNAL – February 2021 PJ1Doc noDayDetailsFolVAT inputPurchasesTrade payables585924RG WholesalersCL1R779,85R5 199,00R5 978,85

Name: Africa Traders is a registered VAT vendor and uses a Perpetual invento
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Description: Africa Traders is a registered VAT vendor and uses a Perpetual inventory system. Africa Traders buys and sells furniture and equipment to customers for cash or on credit. On 24 February 2021, Africa Traders issued a debit note and returned a portable

Given: Date: 24 February 2021 CREDIT NOTE No: 5859 To: Africa Traders, 499 Tshwane Drive…

Answered: olesalers issued the following credit…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

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Africa Traders is a registered VAT vendor and uses a Perpetual inventory system. Africa Traders buys and sells furniture and equipment to customers for cash or on credit. On 24 February 2021, Africa Traders issued a debit note and returned a portable air conditioner that was purchased on credit from RG wholesalers for a total amount of R5 199 (excluding VAT). Upon the receipts of the debit note and a Portable air conditioner on the 24 February 2021, RG wholesalers issued the following credit note:

RG WHOLESALERS
7 Smart Street P O Box 3336 PRETORIA VAT registration number PRETORIA 0001 Tel (012) 429–3931 2277227756 Fax (012) 429–3424

Date: 24 February 2021	CREDIT NOTE	No: 5859
To: Africa Traders, 499 Tshwane Drive Pretoria
Code	Description	Qty	Amount credited (R)
PA025	Portable Air Conditioner	1	5 199,00
Subtotal	5 199,00
VAT @ 15%	779,85
Total credit due	5 978,85
E & OE

Which of the following subsidiary journal of Africa Traders has been correctly updated after considering the above credit note received by Africa Traders?

Select one:

PURCHASES RETURNS JOURNAL – February 2021 PRJ1

Doc no	Day	Details	Fol	VAT input	Inventory	Trade payables
5859	24	RG Wholesalers	CL1	R779,85	R5 199,00	R5 978,85

PURCHASES RETURNS JOURNAL – February 2021 PRJ1

Doc no	Day	Details	Fol	VAT Output	Purchases returns	Trade payables
5859	24	RG Wholesalers	CL1	R779,85	R5 199,00	R5 978,85

SALES RETURNS JOURNAL – February 2021 SRJ1

Doc no

Day

Details

Fol

VAT output

Sales returns

Trade receivables

5859

RG Wholesalers

CL1

R779,85

R5 199,00

R5 978,85

PURCHASES JOURNAL – February 2021 PJ1

Doc no	Day	Details	Fol	VAT input	Purchases	Trade payables
5859	24	RG Wholesalers	CL1	R779,85	R5 199,00	R5 978,85

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olesalers issued the following credit note: RG WHOLESALERS