Value added tax (VAT) is charged on most of the goods and services you buy. It is a tax added on to the cost of the item or service.
Calculating the cost including VAT Multiply the cost by the VAT rate to fi nd the VAT. Add the VAT to the cost.
1 2 Worked example 2
A mobile phone costs €450 before VAT, and VAT is charged at the rate of 23%. How much does the customer have to pay?
Solution
Practice questions 5.5
1. A new healthy snack bar is being sold in the shops. Each bar weighs 40 g and contains 2 g of protein, 3 g of fat and 35 g of carbohydrate.
What percentage of protein, fat and carbohydrate does each bar contain?
2. A toy manufacturing company released a toy car that measured 20 cm in length. They reduced the length of the model by 30% to produce a miniature version of the same car. How long is the miniature car?
3. A student got 74% on a Maths test that had 20 questions. How many questions did the student answer correctly on this test? Round your answer to the nearest whole number.
4. In a sale, shirts were reduced by 20% and sold for €15 each. What was the original price of the shirts before the sale?