QUESTION 5 (a) In relation to VAT, what is the difference between exempt and zero-rated supplies? (5 marks) (b) If a business is supplying services at 23% and supplying exempt services, what is the effect on the amount of VAT that they can reclaim on their purchases? (10 marks) (c) If a trader doesn't have to register for VAT, what factors should be considered in deciding whether to voluntarily register for VAT? (5 marks) (d) In relation to VAT, explain the difference between the invoice basis and the cash receipts basis of accounting (5 marks) Total (25 marks)