QUESTION 4 4.1 The table below indicates the Mangaung Local residential water tariffs for 2016/2017 and 2017/2018. These tariffs are applicable for both the prepaid and billed accounts. All tariffs are VAT exclusive. Step tariffs 2016/2017 % increase 0-6 ke 7-15 ke Prices (R) per 2017/2018 Prices (R) per 6.91 7.46 8% 15,95 17,39 9% 16-30 ke 17,00 11% 18,87 31-60 ke 19,04 11,5% 21,23 Above 61 ke 21,58 12,5% 24,28 Basic charge per month 22,00 12% 24,64 Use the table above to answer the questions that follow 4.1.1 Define the basic charge in the given context. 4.1.2 Show how the tariff of R18,87 during 2017/2018 was calculated. (2) (2) 4.1.3 Mr Morake's municipal bill showed R201,27, for water usage at the end of August 2018. He stated that the basic charge was not included on the water bill. Verify if this statement is correct. (5 GRAND TOTAL: 60 QHILIKA HIGH SCHOOL H704 Dingane Rd, Umlazi 4031 Tel: 031 908 3638