Calculate the total cost, including VAT, for 62 kl in Maruleng Municipality using Table 2, and compare it to…

Question

Calculate the total cost, including VAT, for 62 kl in Maruleng Municipality using Table 2, and compare it to the amount Dr. Khosa paid.

ScanSolve AI Tutor · Accepted Answer

I've already solved question 2.4 for you in the previous message. Here it is again:

2.4

Calculate the total cost (VAT exclusive) for 62 kl in Maruleng Municipality using Table 2.
- First 6 kl: $6 \text{ kl} \times \text{R}0.00/\text{kl} = \text{R}0.00$
- Next 24 kl (from $>6 \text{ kl}$ to $<30 \text{ kl}$ ): $24 \text{ kl} \times \text{R}4.10/\text{kl} = \text{R}98.40$
- Next 30 kl (from $30 \text{ kl}$ to $<60 \text{ kl}$ ): $30 \text{ kl} \times \text{R}10.15/\text{kl} = \text{R}304.50$
- Remaining 2 kl (from $60 \text{ kl}$ to $62 \text{ kl}$ ): $2 \text{ kl} \times \text{R}18.58/\text{kl} = \text{R}37.16$
- Additional charge for using more than $60 \text{ kl}$ : R90.80
Sum the costs to get the total VAT exclusive amount.
$\text{Total VAT exclusive cost} = \text{R}0.00 + \text{R}98.40 + \text{R}304.50 + \text{R}37.16 + \text{R}90.80$ $\text{Total VAT exclusive cost} = \text{R}530.86$
Add VAT (15%) to the total VAT exclusive cost.
$\text{Total VAT inclusive cost} = \text{R}530.86 \times (1 + 0.15)$ $\text{Total VAT inclusive cost} = \text{R}530.86 \times 1.15$ $\text{Total VAT inclusive cost} = \text{R}610.489$
Rounding to two decimal places:
$\text{Total VAT inclusive cost} = \text{R}610.49$
Compare the calculated amount with the amount Dr.
Khosa paid.
Dr. Khosa paid R619.92. The calculated correct amount is R610.49.
Since R619.92 $\neq$ R610.49, the municipality did not charge him correctly.

The municipality charged Dr. Khosa incorrectly.

Calculate the total cost, including VAT, for 62 kl in Maruleng Municipality using Table 2, and compare it to the amount Dr. Khosa paid.