A shopkeeper buys an article from the wholesaler at RO 72 and pays sales tax at the rate of 10%. The shopkeeper fixes the price of the article at RO 90 and charge sales tax at 10% from the consumer. Find (a) Input tax (b) Output tax (c) VAT paid to government Select one: O a. Input tax = 7.2, output tax = 9, VAT = 16.2 O b. Input tax = 7.2, Output tax = 9, VAT = 1.8 O c. Input tax = 9, Output tax = 7.2, VAT = 16.2 O d. Input tax =9, Output tax = 7.2, VAT = 1.8

A shopkeeper buys an article from the wholesaler at RO 72 and pays sales tax at the rate of 10%. The shopkeeper fixes the price of the article at RO 90 and charge sales tax at 10% from the consumer. Find (a) Input tax (b) Output tax (c) VAT paid to government Select one: O a. Input tax = 7.2, output tax = 9, VAT = 16.2 O b. Input tax = 7.2, Output tax = 9, VAT = 1.8 O c. Input tax = 9, Output tax = 7.2, VAT = 16.2 O d. Input tax =9, Output tax = 7.2, VAT = 1.8

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter12: Current Liabilities

Section: Chapter Questions

Problem 2PA: Stork Enterprises delivers care packages for special occasions. They charge $45 for a small package,...

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