VAT 20%
RosieFitz
Registered Posts: 7
Hi, this question has confused me ... or am i confusing myself?
Calculate the VAT at the standard rate (20%) to be added on to the net goods price of £26.60?
My answer would be that Vat = 4.44? and the Net therefore would be 22.16???
Calculate the VAT at the standard rate (20%) to be added on to the net goods price of £26.60?
My answer would be that Vat = 4.44? and the Net therefore would be 22.16???
0
Comments
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The net is exclusive of VAT it looks like your taking the £26.60 as the gross amount.
£26.60 x 20% = £5.32
VAT = £5.32.0 -
Thank you, i get so confused with remembering if something is inclusive or exclusive of vat as they have different calculations, right?
Any hints to help remember?
0 -
Yea the calculation is different for Net and Gross:
Net = x by 20%
Gross = x by 20 then divide by 120 to find the VAT amount. And you round down remember when working out the VAT, so on a calculator an answer of 10.978 would actually be 10.97 not 10.98.
No tips for remembering sorry1
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