Question

Us the information above to answer the following questions: What does the acronym VAT stand for? How many items on the till slip are zero rated? Give a reason why the items are zero rated. 13 If Mr Se hole decides to buy at a later stage 6 kg of rice (packed and priced in the same way as on the till slip), what will he pay for the rice? Mr Sethole states that he paid R23,99 for playboy deodorant (150 ml). Is Mr Sethole's staten ent correct? Do all the necessary calculations to support your answer. Show how the VAT amount of R17,36 was calculated. Hence, calculate the total cost excluding VAT.​

Answer 1

A food manufacturer may use zero-rated goods in the manufacturing of a food product, but when the consumer buys the final product, it includes a VAT.

Explanation: