A maths problem for the clever people

[speling bee]

Psst. Come to my shop and its only £270. Cash only, no receipt.

Always nice to see someone turn their lifestyle choices into a successful business.

Obese Medical Equipment - Obesity Product - Medical Supplies for Obese

[MarillionFan]

So I go into a shop and spend £300 - I pay on that £250 net and £50 vat

However if I go to the same shop and spend £100 I therefore pay £83.33 net and £16.67 VAT.

So if I then buy the same item for £100 3 times I will pay

£83.33 x 3 = £249.99 Net and £16.67 x 3 = £50.01 VAT

Which is not the same as spending £300 all in 1 go.

Which is correct and why?

Psst. Come to my shop and its only £270. Cash only, no receipt.

[speling bee]

So I go into a shop and spend £300 - I pay on that £250 net and £50 vat

However if I go to the same shop and spend £100 I therefore pay £83.33 net and £16.67 VAT.

So if I then buy the same item for £100 3 times I will pay

£83.33 x 3 = £249.99 Net and £16.67 x 3 = £50.01 VAT

Which is not the same as spending £300 all in 1 go.

Which is correct and why?

Weren't you once a pimp?

[NotAllThere]

A maths problem for the clever people

Hah - I'm too clever to be caught that way.

[GazCol]

So I go into a shop and spend £300 - I pay on that £250 net and £50 vat

However if I go to the same shop and spend £100 I therefore pay £83.33 net and £16.67 VAT.

So if I then buy the same item for £100 3 times I will pay

£83.33 x 3 = £249.99 Net and £16.67 x 3 = £50.01 VAT

Which is not the same as spending £300 all in 1 go.

Which is correct and why?

You've rounded up 16.67 3 times when it should be 16.666*3 = £49.998 or £50.

You'd only incur the extra 1p VAT if you paid for each item separately rather than as one transaction.

So they're both correct and stop asking for help for your kid's GCSE maths homework?

[BrilloPad]

The answer if 16! No wait, its 24.7.

Where is sasguru when I need him?

[VectraMan]

So if you make the same purchase 300 million times, and you reclaim the VAT, then you'll have made £1million.

Go for it.

[MyUserName]

Aren't they both correct and you are just experiencing a rounding error?

[original PM]

So I go into a shop and spend £300 - I pay on that £250 net and £50 vat

However if I go to the same shop and spend £100 I therefore pay £83.33 net and £16.67 VAT.

So if I then buy the same item for £100 3 times I will pay

£83.33 x 3 = £249.99 Net and £16.67 x 3 = £50.01 VAT

Which is not the same as spending £300 all in 1 go.

Which is correct and why?