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Tafon
Oct 21, 2009, 11:59 PM
Hi
Please can some one help me out with this:
A trader withdraws goods worth $500 from stock for personal consumption. The replacement value of the goods is $502. Value Added Tax is charged at 19.25%.
How will this transaction be recorded in the journal of the trader?

rehmanvohra
Oct 22, 2009, 10:02 PM
Debit Drawings 596.25
Credit Inventory 500
Credit Vat 96.25