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A manufacturing company, A Ltd, purchases raw materials at a cost of $1,000 plus VAT at the standard rate of 17%. From the raw materials
A manufacturing company, A Ltd, purchases raw materials at a cost of $1,000 plus VAT at the standard rate of 17%. From the raw materials A Ltd makes finished products which it sells to a retail outlet, B plc for $1,600 plus VAT at 17%. B plc sells the products to customers at a total price of $2,000 plus VAT at 17%. How much VAT is paid at each stage in the chain
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