QUESTION 2 Reliable Ltd provides you with information regarding its sales, purchases and expenses for the quarter ended 31 December 2019: Standard rated purchases 180,000 Standard rated sales 250,000 (Standard rated sale include goods sold to a domestic customer for 5,000. Invoice stated that customer gets 2% discount if the invoice is paid with 15 days, the invoice was actually paid on 12th day after the issuance) Zero rated sales (Sales to a European customer) 8,000 Purchase of motor car partly used for business purpose 12,000 Standard rated expenses (including 300 48,000 for entertaining UK customers) Required: Assess the VAT liability of Reliable Ltd for the quarter ended 31 December 2019