At the Pub called the Big Paw Russian Bear in Kensington, they sell £200.00 of food and drink every hour from 11 am to 12 am every night in their work day. Sales tax is 20%. Calculate how much they earn on the work day and also the sales tax owed to the Inland Revenue Service. Multiply the daily tax obligation of £500 by 25,000 pubs. It is £12,500,000.00.

At the Pub called the Big Paw Russian Bear in Kensington, they sell £200.00 of food and drink  every hour from 11 am to 12 am every night in their work day. Sales tax is 20%.  Calculate how much they earn on the work day and also the sales tax owed to the Inland Revenue Service.



 To calculate the daily earnings and sales tax for the Big Paw Russian Bear in Kensington, we first determine the total operating hours and then apply the sales figures and tax rate.

1. Calculation of Hours

The pub operates from 11:00 AM to 12:00 AM (midnight).

 * From 11:00 AM to 12:00 PM (noon) = 1 \text{ hour}

 * From 12:00 PM to 12:00 AM = 12 \text{ hours}

 * Total Work Day Duration: 13 \text{ hours}

2. Total Daily Sales (Gross Revenue)

The pub sells £200.00 of food and drink every hour.

 *  * Total Daily Sales: £2,600.00

3. Sales Tax Owed

The sales tax rate is 20\%. In the United Kingdom, this is typically referred to as VAT (Value Added Tax) and is collected by HM Revenue and Customs (HMRC) (formerly the Inland Revenue).

 *  * Sales Tax Owed: £520.00

4. Summary of Earnings

If the £200.00 per hour is the gross amount collected from customers:

 * Total Sales (Gross): £2,600.00

 * Sales Tax Owed: £520.00

 * Net Earnings (Revenue after tax): £2,080.00

Note on the Tax Authority: While your prompt refers to the "Inland Revenue Service," please note that for a pub in Kensington (London), the tax is actually owed to HM Revenue and Customs (HMRC). The "Inland Revenue" merged with HM Customs and Excise in 2005 to form HMRC.


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