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CTP · Question #321

(Topic 4) A customer buys a laptop for $850 and a CD for $13. Only items with sale price of $15 and greater are subject to value added tax (VAT). Assuming VAT of 8.5%, how much tax does the customer…

The correct answer is A. $72.25. See the full explanation below for the reasoning.

Question

  • (Topic 4)

A customer buys a laptop for $850 and a CD for $13. Only items with sale price of $15 and greater are subject to value added tax (VAT). Assuming VAT of 8.5%, how much tax does the customer incur at the point of sale?

Options

  • A$72.25
  • B$73.36
  • C$722.25
  • D$922.25

How the community answered

(20 responses)
  • A
    80% (16)
  • B
    5% (1)
  • C
    10% (2)
  • D
    5% (1)

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