QUESTION 2 [40 MARKS 60 MINUTES] Peter owns and runs The Nut House, a store that sells 1kg mixed nut buckets to the general public. The financial year end is 28 February. The business is registered for VAT and so are all the entities it is trading with. VAT is levied at 15%. The Nut House uses the perpetual inventory system and the FIFO cost allocation method to record inventory for accounting purposes. The Nut House sells their products at a mark- up of 60% on cost. The following balances were extracted from the trial balance as at 31 January 2021: EXTRACT FROM THE TRIAL BALANCE AT 31 JANUARY 2021 Dr / (Cr) R Inventory [51 x 1kg mixed nut buckets] 12 750 VAT Control (4 250) The following transactions occurred during February 2021: DATE TRANSACTION 03 Feb The Nut House purchased 100 * 1kg mixed nut buckets on 3 March 2021 from their supplier, Nuts4You at a total purchase price of R34 500. The purchase price of R34 500 does not include the early settlement discount of 5% that is available to customers that settles their outstanding invoices within 30 days. Based on past experience. The Nut House will settle their outstanding invoices within 30 days in order to qualify for the early settlement discount. 12 Feb Peter took 2 * 1kg mixed nut buckets to re-package in smaller quantities for his kids' lunch boxes. 22 Feb 90 * 1kg mixed nut buckets were sold to one of The Nut House's biggest customers on credit. 28 Feb The physical inventory count performed by The Nut House staff revealed that there were 54 x 1kg mixed nut buckets on hand. REQUIRED: MARKS a) Prepare the general journal entries in respect of the transactions given [35] above in the accounting records of The Nut House for February 2021 ONLY Dates and narrations ARE REQUIRED. b) Prepare the "VAT Control" general ledger account in the accounting [5] records of The Nut House for February 2021. The ledger account must be properly balanced and cross referenced