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Vat Exclusive Amount

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Vat Exclusive Amount


1. **Stating the problem:** A car price of R 379600 includes VAT. We need to find the VAT exclusive amount. 2. Let the VAT rate be $r$. Usually, VAT is around 15% (0.15), but since not provided, assume $r=0.15$. 3. If $P$ is the VAT exclusive price, then including VAT price $= P + rP = P(1+r)$. 4. Here, $379600 = P(1 + 0.15) = 1.15P$. 5. Solve for $P$: $$P = \frac{379600}{1.15}$$. 6. Calculate: $$P = 330086.96$$ approximately. 7. Therefore, the VAT exclusive amount is approximately $330086.96$.