Additional expenses made after buying an article are included in the cost price and are known as Value Added Tax. Is the following statement true or false
Solution:
The statement is False.
The additional expenses after buying an article are included in the cost price are known as Overhead Expenses.
✦ Try This: A hotel purchases a deep freezer from a white goods dealer for Rs. 25959 Inclusive of all taxes. The hotel incurs cost of ordering which is equal to Rs.2350 and also incurs the cost of transporting the deep freezer to the hotel which is Rs.750. What is the total cost of procuring the deep freezer?
The ordering cost of Rs. 2350 and the transportation cost of Rs. 750 are part of the overhead expenses.
Total overhead expenses = Rs. 2350 + Rs. 750
= Rs. 3100
Hence the total cost of procuring the deep freezer is:
Total Cost of deep freezer = Rs. 25959 + Rs. 3100
= Rs. 29059
☛ Also Check: NCERT Solutions for Class 8 Maths Chapter 8
NCERT Exemplar Class 8 Maths Chapter 9 Problem 47
Additional expenses made after buying an article are included in the cost price and are known as Value Added Tax. Is the following statement true or false
Summary:
Additional expenses made after buying an article are included in the cost price and are known as Value Added Tax is a False statement
☛ Related Questions:
visual curriculum