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QUESTION THREE Vertex Pty Lid is a shoe retailer in Johannesburg, Gauteng. On 1 0 February 2 0 2 4 , a vendor bought pairs

QUESTION THREE
Vertex Pty Lid is a shoe retailer in Johannesburg, Gauteng. On 10 February 2024, a vendor bought
pairs of shoes at a cost price of R240000 exclusive of VAT and paid the wholesaler R276000 cash.
On 27 February 2024, the vendor sold the pair of shoes to a customer for R414000(inclusive of
15% VAT) cash. Assume that the periodic inventory method is in use and that this was the only
transaction for February 2024. Required:
Show journal entries to record the purchase and sale of the shoe during February 2024. Thereafte
record the entries for the payment of VAT to SARS on due date 20 March 2024.
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