Question

David purchased the pair of shoes for Rs 441 in including VAT. if the sale price of shoes is Rs 420, then the rate of VAT is​

Answer 1

VAT = Percentage of Purchase Price - Sale Price from Sale Price

Step-by-step explanation:

VAT = Percentage of Purchase Price - Sale Price

Purchase Price - Sale Price

441 - 420 = 21

Find the percentage of 21 from 420

(21/420) x 100

(1/20) x 100

100/20

5

Hence, the rate of VAT is 5%.

Answer 2

Answer:

Rate of vat =5%

Step-by-step explanation:

According to the information provided in the question it is given as

David purchase  pair of shoes = Rs441 (including vat)

Sale price of shoe = 420

We need to find the rate of vat  or value of vat

According to the definition vat is define as Percentage of Purchase Price

Substracted by Sale Price

Hence a simple equation is as follows

 VAT = (Percentage of Purchase Price - Sale Price)

Putting the value we get the answer

441 - 420 = 21

Now this is the amount of vat we need to find the rate  of vat

Means indirectly  vat %

For that

Find the percentage of 21 from 420

$\frac{21}{420} \times 100$

Solving to its lowest term we get

$\frac{1}{20} \times 100$

(As 21 and 420 are divisible by 21)

Again solving to lowest term we get

$5$

(As 20 and 100 are divisible by 20)

So the rate % of vat is =5%

100/20

5

Hence, the rate of VAT is 5%.