Accounting for VAT Team A

A product costs AED 500 before VAT. If the UAE VAT rate is 5%, what is the total price including VAT?

• AED 505

• AED 525

• AED 550

• AED 575

A restaurant bill is AED 800 before VAT. What is the VAT amount?

• AED 20

• AED 40

• AED 50

• AED 80

If a business sells a laptop for AED 2,000 (including VAT), what is the VAT-exclusive price to the nearest hundred?

• AED 1,900

• AED 1,950

• AED 2,100

• AED 2,200

A store offers a 10% discount on a product priced at AED 1,000 before VAT. What is the final price after VAT?

• AED 945

• AED 950

• AED 990

• AED 1,050

A business receives an invoice for AED 6,300, which includes 5% VAT. What was the original price before VAT?

• AED 6,000

• AED 6,285

• AED 5,850

• AED 5,500

A company sells goods for AED 5,000, and after applying VAT, the total invoice amount is AED 5,250. What is the VAT percentage?

• 4%

• 5%

• 6%

• 7%

A retailer purchases goods worth AED 20,000 + VAT and sells them for AED 30,000 + VAT. How much VAT does the retailer owe to the government?

• AED 500

• AED 1,000

• AED 1,500

• AED 2,000

A company incurs AED 10,000 in VAT on purchases and collects AED 15,000 in VAT from sales. How much must it pay to the tax authority?

• AED 2,500

• AED 5,000

• AED 10,000

• AED 15,000

Which of the following transactions is exempt from VAT in the UAE?

• Selling a residential property after 3 years

• Providing consultancy services

• Selling commercial property

• Importing goods into the UAE

If a business is registered for VAT and its total VAT on sales is AED 12,000 while VAT on purchases is AED 14,000, what happens?

• The business owes AED 2,000 to the government

• The business will get a VAT refund of AED 2,000

• The VAT payable is AED 12,000

• The VAT payable is AED 14,000