Question 2 a) Andre is a sole trader and is registered for VAT. In the quarter ended 31 March 2022 he had the following transactions: Sales (exclusive of VAT where applicable) Standard rated 640,000 36,000 Zero rated Purchases (all standard rated and exclusive of VAT) Purchases of inventory 500,000 Expenses (inclusive of standard rated VAT where applicable) Wages 165,000 73,200 Electricity Insurance 16,200 Motoring expenses (all business) 57,600 Bad debts of 3,400 (due on 30 April 2021) and 2,500 (due on 31 December 2021) were written off by Andre in March 2022. Both amounts are exclusive of VAT. Required: Calculate the amount of VAT payable or reclaimable by Andre for the quarter ended 31 March 2022 and state the due date of payment (10 marks) b) Steffi is a sole trader and is registered for VAT Steffi uses the flat rate scheme for her business making standard rated supplies and incurring standard rate expenses. The flat rate percentage relating to her business is 9% In the year ended 31 March 2022 she had the following transactions Standard rated sales to the public 30,000 Standard rated purchases 9,000 Standard rated expenses 3,000 All the above figures are inclusive of VAT Required: Calculate the VAT saved by using the flat rate scheme as opposed to the standard method