A manufacturing company M sells a computer to a distributor D for Rs 2

1.	A manufacturing company M sells a computer to a distributor D for Rs 22000. The distributor D sells it to a retailer R for Rs 24750 and the retailer sells it to a consumer for Rs 26,000. If the rate of sales tax (under VAT) is 10%, find: i) the amount of VAT collected by the government on the sale of computer ii) the amount that the consumer pays for the machine.
Answer» A manufacturing company M sells a computer to a distributor D for Rs 22000. The distributor D sells it to a retailer R for Rs 24750 and the retailer sells it to a consumer for Rs 26,000. If the rate of sales tax (under VAT) is 10%, find: i) the amount of VAT collected by the government on the sale of computer ii) the amount that the consumer pays for the machine.

A manufacturing company M sells a computer to a distributor D for Rs 22000. The distributor D sells it to a retailer R for Rs 24750 and the retailer sells it to a consumer for Rs 26,000. If the rate of sales tax (under VAT) is 10%, find: i) the amount of VAT collected by the government on the sale of computer ii) the amount that the consumer pays for the machine.

Answer»

A manufacturing company M sells a computer to a distributor D for Rs 22000. The distributor D sells it to a retailer R for Rs 24750 and the retailer sells it to a consumer for Rs 26,000. If the rate of sales tax (under VAT) is 10%, find:

i) the amount of VAT collected by the government on the sale of computer

ii) the amount that the consumer pays for the machine.

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