Question

In January 2011 the rate of VAT increased from 17.5% to 20%. Work out the difference in price of a car worth £15000 + VAT due to the increase in VAT.

Answer 1

The difference in price of car worth RS 15000+VAT due to the increase in VAT=Rs 375

Step-by-step explanation:

Let initial VAT=$V_1$ and

Final VAT=$V_2$

$V_1=17.5$%

$V_2=$20%

Price of Car=RS 15000

17.5 % of 15000=$\frac{17.5}{100}\times 15000=Rs 2625$

Total price of Car including VAT=15000+2625=RS 17625

20% of 15000=$\frac{20}{100}\times 15000=Rs 3000$

Price of car including VAT=15000+3000=RS 18000

The difference in price of car=Rs1 8000-Rs 17625=Rs 375

Hence, the difference in price of car worth RS 15000+VAT due to the increase in VAT=Rs 375

#Learns more:

https://brainly.com/question/5796709:Answered by RenatoMattice

Answer 2

Answer:

375

Step-by-step explanation:

thats the answer