Neco Model Questions Vol1 2019 Commerce Question 33
Practice objective / multiple choice question 33 from the 2019 Neco Model Questions Vol1 Commerce examination.
A consumer purchases a washing machine with a list price of \(120{,}000\) ₦. The seller offers a 10 % cash discount and an additional 5 % discount if the consumer trades in an old machine valued at \(15{,}000\) ₦. Value‑added tax (VAT) of 7.5 % is applied after all discounts. After a month the consumer discovers a defect and is entitled to a statutory compensation equal to 20 % of the post‑VAT price. The consumer must also pay a service charge of \(2{,}500\) ₦ for the repair. Determine (a) the net amount the consumer finally pays, and (b) whether the consumer makes a profit or loss compared with the original cash price without any discounts or VAT.
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About This Question
This is Neco Model Questions Vol1 2019 Commerce Question 33. It is one of the objective questions from the 2019 Neco Model Questions Vol1 Commerce examination.
Difficulty level: Hard .
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