A company called Blaze Wines Limited has been given 3,000,000 excise stamps which were used as...

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A company called Blaze Wines Limited has been given 3,000,000 excise stamps which were used as follows: • 50% of stamps brand 40 (product at 40%) at 750ml 30% of brand 30 (30% alcoholic strength) at 500 ml • 20% of brand 8 (8 % alcoholic strength) at 300 ml. • If the opening stock and closing stock of stamps are as follows: Opening Balance of finished goods 5,000 bottles of 300 ml and 1,000 bottles of 750 ml Closing Balance of Finished Goods 200 bottles of 300ml, 750 bottles of 500ml and 600 bottles of 750ml. Calculate the tax payable on the subsequent month Assume that the rate of excise on raw spirit of Alcoholic Strength above 10% = 200 Kes per litre, the rate of excise on raw spirit of Alcoholic Strength less than 10% = 100 Kes per litre and raw spirit is 96% alcoholic strength. A company called Blaze Wines Limited has been given 3,000,000 excise stamps which were used as follows: • 50% of stamps brand 40 (product at 40%) at 750ml 30% of brand 30 (30% alcoholic strength) at 500 ml • 20% of brand 8 (8 % alcoholic strength) at 300 ml. • If the opening stock and closing stock of stamps are as follows: Opening Balance of finished goods 5,000 bottles of 300 ml and 1,000 bottles of 750 ml Closing Balance of Finished Goods 200 bottles of 300ml, 750 bottles of 500ml and 600 bottles of 750ml. Calculate the tax payable on the subsequent month Assume that the rate of excise on raw spirit of Alcoholic Strength above 10% = 200 Kes per litre, the rate of excise on raw spirit of Alcoholic Strength less than 10% = 100 Kes per litre and raw spirit is 96% alcoholic strength.

Answer rating: 100% (QA)

To calculate the tax payable on the subsequent month we first need to determine the quantity of raw ... View the full answer