Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Growing up in wealthy family C3 (1). Fatima Supermarket (retailer] buys an article from ABC Hypermart (wholesaler] at OMR 5000 and the wholesaler charges a

Growing up in wealthy family
image text in transcribed
C3 (1). Fatima Supermarket (retailer] buys an article from ABC Hypermart (wholesaler] at OMR 5000 and the wholesaler charges a sales tax at the rate prescribed rate of 8%. The retailer fixes the price at OMR 7000 and charges sales tax at the same rate to Mr. Rahim (customer] Apply VAT system of sales tax calculation to answer the following. m. What is the price that a consumer (Mr. Rahim] has to pay to buy the article? [1 Mark] (F). What is the VAT that a consumer [Mr. Rahim) has to pay to buy the article? [1 Mark] (m). Find the input tax and output tax for the retailer [Fatima Super market). [1 Mark] (iv). Find the input tax and output tax for the wholesaler (ABC Hypermarket). [1 Mark] (V). How much VAT does the retailer pay to the government? [1 Mark] (vi). How much VAT does the wholesaler pay to the government? [1 Mark] (vii). How much VAT the government received in total? [1 Mark] (2). "Amount paid by the customer (Rahim) at the final stage of supply chain is equal to amount received by government in stages". Do you agree with the statement? Justify your answer in your own words with correct example [3 Marks)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Finance Markets, Investments, And Financial Management

Authors: Ronald W Melicher, Edgar Norton

13th Edition

0470128925, 9780470128923

More Books

Students also viewed these Finance questions