Question

A bicycle manufacturer sells a bicycle at ₹ 1308 after adding VAT at the rate of 9%.still he makes a profit of 20% on the sale of each bicycle.what is the manufacturing cost of each bicycle

Answer 1

list price be x
VAT - 9%of x
bill amount 1308
x+9x/100=1308
x= 1200
lp =1200 p%= 20%
c.p + p= l.p
x +20x/100=1200
x=1000
market price = 1000

Answer 2

Answer:

The manufacturing cost of each bicycle is Rs.1000.

Step-by-step explanation:

Given : A bicycle manufacturer sells a bicycle at ₹ 1308 after adding VAT at the rate of 9%. still he makes a profit of 20% on the sale of each bicycle.

To find : What is the manufacturing cost of each bicycle ?

Solution :

Let the cost price be 'x'.

VAT is at the rate of 9%.

A bicycle manufacturer sells a bicycle at ₹ 1308 after adding VAT at the rate of 9%.

i.e. $\frac{100+9}{100} \times x=1308$

$1.09x=1308$

$x=\frac{1308}{1.09}$

$x=1200$

The manufacturing cost is Rs.1200.

He makes a profit of 20% on the sale of each bicycle.

So, The original cost price is given by

$CP=\frac{100}{100+20}\times MC$

$CP=\frac{100}{120}\times 1200$

$CP=1000$

Therefore, The manufacturing cost of each bicycle is Rs.1000.