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Paula runs a plumbing business - Junior Cycle Mathematics - Question 5 - 2016
Question 5
Paula runs a plumbing business. (a) She charges a basic call-out fee of €40. She also charges €30 for each hour, or part of an hour, that a job lasts. Paula spent 2... show full transcript
Worked Solution & Example Answer:Paula runs a plumbing business - Junior Cycle Mathematics - Question 5 - 2016
Step 1
(a) Work out the total charge for this job.
Answer
To calculate the total charge, we first sum the call-out fee and the charge for the hours worked:
- Call-out fee: €40
- Hourly charge:
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Paula worked 2 hours and 45 minutes, which equals 2.75 hours.
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The charge for 2.75 hours:
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Number of full hours = 3 (including part of the hour)
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Hourly charge = €30 × 3 = €90
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Thus, the total charge is:
Step 2
(b) Work out the cost of this part, in euro. Give your answer correct to two decimal places.
Answer
To convert the cost of the part from sterling to euros, we can use the given exchange rate:
- Cost of part: £24.83
- Exchange rate: £1 = €0.71
To find the cost in euros:
Calculating this gives:
Thus, the cost of the part in euros is €17.65.
Step 3
(c) Find the percentage rate of VAT charged on the parts.
Answer
To find the percentage rate of VAT, we can use the following formula:
ext{Percentage rate of VAT} = rac{ ext{VAT}}{ ext{Total charge before VAT}} imes 100
Where:
- VAT = €75.90
- Total charge before VAT = €330
Substituting the values into the formula:
ext{Percentage rate of VAT} = rac{75.90}{330} imes 100
Calculating this:
ext{Percentage rate of VAT} ext{ (approximately) } = 23 ext{%}
Therefore, the percentage rate of VAT charged on the parts is 23%.