Annapurna suppliers sold construction materials of
Rs. 4,40,000 to Angel suppliers making 10% profit
and adding 13% VAT. Angel suppliers spent Rs. 5,000
for transportation cost and made 10% profit on the
purchased price excluding VAT and levied local tax Rs.
2500 and sold to constructor. What VAT amount should
be paid by the constructor?"
Ans: Rs. 70187
