Answer:
£43.26
Step-by-step explanation:
Given readings:
- Present meter reading: 2410
- Previous meter reading: 2090
Calculate the number of units used:
[tex]\begin{aligned} \textsf{Number of units used} &= \textsf{Present meter reading} - \textsf{Previous meter reading}\\&= \sf 2410 - 2090\\&= \sf 320\; units \end{aligned}[/tex]
Given charges:
- Charge per unit: 12p per unit.
- Service charge: 20p per day for 14 days.
Calculate the cost excluding VAT:
[tex]\begin{aligned}\textsf{Cost (exc. VAT)}&=\textsf{(\# of units $\times$ charge per unit)}+\textsf{(\# of days $\times$ service charge per day)}\\ & = \sf 320 \times \£0.12 + 14 \times \£0.20\\&= \sf \£38.4+\£2.8\\&= \sf \£41.20\end{aligned}[/tex]
To find the total cost including VAT at 5%, multiply the cost (exc. VAT) by 1.05:
[tex]\begin{aligned}\textsf{Cost (inc. VAT at 5\%)}&= \sf \£41.20 \times 1.05\\&= \sf \£43.26\end{aligned}[/tex]
