Question

Ahul went to a shop and bought things worth rs. 25, out of which 30 paise went on sales tax on taxable purchases. if the tax rate was 6%, then what was the cost of the tax free items?

Answer 1

hey

Here is your answer,

Total cost of the items he purchased = Rs.25

Given that out of this Rs.25, 30 Paise is given as tax.

=> Total tax incurred = 30 Paise = Rs.30/100
Let the cost of the tax free items = x
Given that tax rate = 6%

∴ (25−30/100−x)6/100=30/100
⇒6(25−0.3−x)=30
⇒(25−0.3−x)=5
⇒x=25−0.3−5
=19.7

Hope it helps you!