Question

If the cost of an item with VAT is Rs 1,356 and without VAT is Rs 1,200, find the VAT?​

Answer 1

Given:

Cost of an item with VAT = Rs 1,356

Cost of that item without VAT = Rs 1,200.

To find:

The VAT.

Solution:

We have,

Cost of an item with VAT = Rs 1,356

Cost of that item without VAT = Rs 1,200.

We know that,

VAT = Cost of an item with VAT - Cost of that item without VAT

= 1356 - 1200

= 156

Therefore, the value of VAT is $156.