Gauri went to the stationers 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?
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27
The answer is Rs. 19.70.
Solution:-
Let the amount of taxable purchases be Rs. x.
=> 6% of x = Rs.0.30 = 30/100
=>6/100 of x = 30/100
=> x = 30/100 x 100/6 = 5
Hence,cost of tax free items = Rs. [25 - (5 + 0.30)] = Rs. 19.70
Solution:-
Let the amount of taxable purchases be Rs. x.
=> 6% of x = Rs.0.30 = 30/100
=>6/100 of x = 30/100
=> x = 30/100 x 100/6 = 5
Hence,cost of tax free items = Rs. [25 - (5 + 0.30)] = Rs. 19.70
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