Answer the following questions to test your understanding
What is the tax point of a sales invoice?
1.4What customer details do you need to produce a sales invoice?
1.4Explain what a trade discount is.
2.1Explain what a settlement discount is.
2.2Is sales tax levied only on goods, or on both goods and services?
3.1How is a grid stamp used in coding?
5.31Jacobs Co provides its customers with individual trade discounts from list price. One customer, Caspian, negotiated a 20% trade discount. Caspian's transactions during March were as follows:
March 12: Purchased goods with a $2,000 list price
March 14: Returned faulty goods with a $400 list price
March 20: Paid half of the net balance on the account.
How much did Caspian owe Jacobs Co at 31 March?
2Alan Co sold a drill priced at $235, a sander at $59.20 and a saw priced at $70. These are all gross figures, inclusive of sales tax at 20%.
How much sales tax is included within this transaction?
3Asap Co is registered to account for sales tax. On 17 June it sold a cash till with a list price of $4,000. Asap Co allowed a trade discount of 25% and the sales tax rate is 20%.
What is the total of the invoice raised by Asap Co?