Choose one answer

The vat payable on a purchase of R 8600 ( excluding vat) is

A. 1 121,74
B. 1 290,00
C. 1 204,00
D. 1 506,14

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1 answer

To calculate the VAT payable on a purchase of R 8600 (excluding VAT), you first need to determine the VAT rate and then calculate the VAT amount.

The standard VAT rate in South Africa is 15%.

Step 1: Calculate the VAT amount.

VAT amount = Purchase price × VAT rate

VAT amount = R 8600 × 0.15

Step 2: Perform the calculation.

VAT amount = R 8600 × 0.15 = R 1290.00

Conclusion:

The VAT payable on a purchase of R 8600 (excluding VAT) is R 1290.00.

Therefore, the correct answer is:

B. 1 290,00