Serbesa Company is a manufacturer of local beer. During a particular quarter, it had the followingtransactions (net of VAT):Jan. 2: Consigned beer to a retailer in Quezon City amounting to P200,000Feb. 14: Exported PI,000,000 worth of beer to UK.Feb. 27: President of Serbesa Company celebrated his birthday, consuming P50,000 worth of beergiven to him by the company as a birthday gift.Mar. 20: Declared property dividend of one case of beer for every 10 shares amounting toP150,000.Additional Information: From January to March, domestic sales to wholesalers amounted toP600,000. No beer was returned by the consignee until the end of the quarter. The output tax forthe quarter is: A Vat taxpayer had the following data on its operations for the month of January:Sales, total invoice price P592,480Purchases of goods, Vat not included:From Vat registered persons100,000From non-vat registered persons 80,000Purchases of services, Vat not included:From Vat registered persons20,000From non-vat registered persons8,000From persons subject to percentage taxes10,000Salaries of employees60,000Other operating expenses12,000This is the first month of being liable to the value added tax. Data on inventories at the beginning of theperiod bought from VAT registered persons follow:Inventory at costP44,800Inventory at net realizable value49,000Value added tax paid on beginning inventory4,800Input Taxes are

Name: Serbesa Company is a manufacturer of local beer. During a particular
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Description: Serbesa Company is a manufacturer of local beer. During a particular quarter, it had the followingtransactions (net of VAT):Jan. 2: Consigned beer to a retailer in Quezon City amounting to P200,000Feb. 14: Exported PI,000,000 worth of beer to UK.Feb

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Serbesa Company is a manufacturer of local beer. During a particular quarter, it had the following transactions (net of VAT): Jan. 2: Consigned beer to a retailer in Quezon City amounting to P200,000 Feb. 14: Exported PI,000,000 worth of beer to UK. Feb. 27: President of Serbesa Company celebrated his birthday, consuming P50,000 worth of beer given to him by the company as a birthday gift. Mar. 20: Declared property dividend of one case of beer for every 10 shares amounting to P150,000. Additional Information: From January to March, domestic sales to wholesalers amounted to P600,000. No beer was returned by the consignee until the end of the quarter. The output tax for the quarter is:

Serbesa Company is a manufacturer of local beer. During a particular quarter, it had the following transactions (net of VAT): Jan. 2: Consigned beer to a retailer in Quezon City amounting to P200,000 Feb. 14: Exported PI,000,000 worth of beer to UK. Feb. 27: President of Serbesa Company celebrated his birthday, consuming P50,000 worth of beer given to him by the company as a birthday gift. Mar. 20: Declared property dividend of one case of beer for every 10 shares amounting to P150,000. Additional Information: From January to March, domestic sales to wholesalers amounted to P600,000. No beer was returned by the consignee until the end of the quarter. The output tax for the quarter is:

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter8: Current And Contingent Liabilities

Section: Chapter Questions

Problem 7MCQ

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