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aivan3 [116]
3 years ago
15

In January 2011 the rate of VAT increased from 17.5% to 20%

Mathematics
1 answer:
Sergio [31]3 years ago
7 0

Answer:

Difference between in price of a car due to increase in VAT is $375.

Step-by-step explanation:

Since e have given that

Price of car = $15000

Rate of VAT = 17.5%

So, Amount of tax becomes

So, Total Price he has to pay is given by

but According to question,

Rate of VAT = 20%

So, Amount of tax becomes

So, Total price he has to pay is given by

Difference between both the price due to increase in VAT is given by

Hence, difference between in price of a car due to increase in VAT is $375.

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