If the mark-up on cost is 20%, please and the selling price(Excl. VAT) is R600, which of the following amounts is the correct Cost Price(Excl. VAT)? O A. R100 OB. R580 O C. R575 O D. R500
If the mark-up on cost is 20%, please and the selling price(Excl. VAT) is R600, which of the following amounts is the correct Cost Price(Excl. VAT)? O A. R100 OB. R580 O C. R575 O D. R500
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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![QUESTION 3
A manufacturer sells his final product for R300 plus VAT (@15%) to a wholesaler. The wholesaler sells the product at a mark-up of 20% above
cost to the manufacturer. If the retailer's mark-up on cost is 25%, the final consumer will pay......(including VAT).
A. R414
OB. R517.50
O C. R450.00
OD. R360.00
QUESTION 4
If the VAT exclusive price of an item is R 650, which of the following is the VAT inclusive price?
O A. R784.23
OB. R97.50
O C.R747.50
O D. R565.22](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd22e1d8a-c875-44ea-bb95-57a838252e9f%2Fa13d10b5-7454-4d91-a328-52007e3be927%2Fh433yes_processed.jpeg&w=3840&q=75)
Transcribed Image Text:QUESTION 3
A manufacturer sells his final product for R300 plus VAT (@15%) to a wholesaler. The wholesaler sells the product at a mark-up of 20% above
cost to the manufacturer. If the retailer's mark-up on cost is 25%, the final consumer will pay......(including VAT).
A. R414
OB. R517.50
O C. R450.00
OD. R360.00
QUESTION 4
If the VAT exclusive price of an item is R 650, which of the following is the VAT inclusive price?
O A. R784.23
OB. R97.50
O C.R747.50
O D. R565.22
![QUESTION 1
If the mark-up on cost is 20%, please and the selling price(Excl. VAT) is R600, which of the following amounts is the correct Cost Price(Excl. VAT)?
O A. R100
OB. R580
O C. R575
O D. R500
QUESTION 2
Which one of the following statements with respect to VAT is false?
O A. There is no indication of a VAT charge next to zero-rated item listed on an invoice.
O B. In general, no input VAT claim is allowed by SARS on the purchase of a double-cab delivery vehicle.
O C. The buyer of zero rated supplies will not get any refund from SARS for buying usch an item.
O D. If a vendor sells only VAT exempt supplies, it may not register for VAT.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd22e1d8a-c875-44ea-bb95-57a838252e9f%2Fa13d10b5-7454-4d91-a328-52007e3be927%2Fga4z8jk_processed.jpeg&w=3840&q=75)
Transcribed Image Text:QUESTION 1
If the mark-up on cost is 20%, please and the selling price(Excl. VAT) is R600, which of the following amounts is the correct Cost Price(Excl. VAT)?
O A. R100
OB. R580
O C. R575
O D. R500
QUESTION 2
Which one of the following statements with respect to VAT is false?
O A. There is no indication of a VAT charge next to zero-rated item listed on an invoice.
O B. In general, no input VAT claim is allowed by SARS on the purchase of a double-cab delivery vehicle.
O C. The buyer of zero rated supplies will not get any refund from SARS for buying usch an item.
O D. If a vendor sells only VAT exempt supplies, it may not register for VAT.
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