Hi

Please could someone assist with journal entries for vehicle traded in with effects of VAT:

Vehicle A Traded in:

Amount Offered: R 180031.08
Settlement Amount: R 93031.08
Nett Amount: R 87000

Vehicle B:
Price incl vat: R 122000
Trade in allowance: R 87000
Cash deposit: R 1000
Balance: R 34000 (paid cash no hire purchase agreement)