Neco Model Questions Vol1 2017 Commerce Question 20
Practice objective / multiple choice question 20 from the 2017 Neco Model Questions Vol1 Commerce examination.
A television is advertised in a newspaper with a "sale price" of \(150,000\) naira, stated to be "including all taxes". The store actually applies a sales tax of \(12\%\) on the pre‑tax price, then gives a discount of \(15\%\) on the same pre‑tax price, and finally adds a fixed service charge of \(5,000\) naira. The consumer pays the amount shown on the receipt. (a) Calculate the amount actually paid by the consumer. (b) Under the Consumer Protection Act, the advertised price (including taxes) must not be more than \(5\%\) higher than the total amount payable after all discounts and charges. Does the advertisement comply with the law? Give the payable amount and answer "Yes" or "No".
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About This Question
This is Neco Model Questions Vol1 2017 Commerce Question 20. It is one of the objective questions from the 2017 Neco Model Questions Vol1 Commerce examination.
Difficulty level: Hard .
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