Question

A manufacturer sells a sewing machine for rs.5500. the wholesaler sells it to the retailer for 7500rs. the retailer makes a profit of 1000rs when he sells it to the consumer. if the GST charged at each stage is 12% find: a. the amt. of gst paid by the manufacturer to the central government. b. the amt. of gst recieved by the state govt. c. the price paid by the consumer d. the gst paid by the retailer.​

Answer 1

Given: It is given that a manufacturer sells a sewing machine for ₹5500, the wholesaler then sells it to retailer for ₹7500 and the retailer sells the product for a profit ₹1000 to the consumer. If the GST at each stage is 12%

To Find: We have to find

(a) the amount of GST paid by the manufacturer to the central government

(b) The amount of GST received by the state government.

(c) The price paid by the consumer.

(d) The GST paid by the retailer

Step-by-Step Explanation:

a) The GST is charged on SP so the GST charged by manufacturer will be:

$\frac{12}{100}\times 5500=660$

The half of this GST will be of state government and half will be of central government.

So, the GST paid by the manufacturer to the central government is: ₹330

b) In the first part we calculated that ₹330 will be of state and ₹330 will be of center.

The wholesaler will charge GST: $\frac{12}{100}\times7500=900$

But the GST paid by wholesaler to the government will be the difference of what he paid to the manufacturer and what he charged on the retailer.

GST paid by wholesaler = $900-660=240$

GST paid by wholesaler to the state government = 120

The SP of the retailer will be $CP+Profit$

                                             =  $7500+1000=8500$

So, the GST charged by the retailer will be $\frac{12}{100}\times8500=1020$

GST paid by retailer = $1020-900=120$

The GST paid by retailer to the state government = 60

So, the total GST received by state government = $320+120+60=510$

(c) The price paid by the consumer = $SP\ of \ seller +\ GST$

                                                           = $8500+1020=9520$

(d) GST paid by retailer = 120 ( From part b)

Answer: Final answer will be:

(a) 330

(b) 510

(c) 9520

(d) 120

To know more about sales tax and GST, refer to the links below:

https://brainly.in/question/19270900

https://brainly.in/question/7977637

#SPJ1