QUESTION 1 Novos (Pty) Ltd carries on a retail business in Pinetown, Durban. Novos (Pty) Ltd is a registered VAT vendor with a two-month tax period. Novos (Pty) Ltd accounts for VAT on the invoice basis. The following transactions relate to the tax period ended 31 October 2015. All amounts include VAT where applicable. Transaction Amount (R) Cash sales of goods to local vendors 86 640 Cash sales of goods to vendors in Lesotho 105 400 Credit sales to local non-vendors 129 960 Payments received in advance from local customers 14 260 Payments received from local debtors 57 700 Credit notes issued to local debtors 4 800 Indemnity payment from insurance company 11 400 Interest received on overdue debtors accounts 1 800 Bank charges 485 Printing and stationery 1 210 Telephone 795 Trading stock purchases from vendors 109 300 Trading stock purchases from non-vendors 45 000 Bulk discount received from vendors 6 700 Chocolates purchased to give to customers 2 650 Purchase of a van, the free use of which was given to the financial manager from 01 October 2015 -Cash cost 55 000 -VAT thereon 7700 Purchase of motor vehicle on instalment sale: -Cash cost 40 000 - VAT thereon 5 600 Cash purchase of used computer equipment from a non-vendor 105 000 Diesel for new motor vehicle 540 Rental of office space 15 000 Overdraft interest 5 000 Tyres for motor vehicle 1 510 YOU ARE REQUIRED TO: Calculate the VAT payable by or refundable to Novos (Pty) Ltd for the two-month period ended 31 October 2015. Show cents, rounding off to two decimal places. (25 Marks)