Question

I purchased a hair-dryer for ₹ 5,400 including 8% VAT. Find the price before VAT was added.

Answer 1

Step-by-step explanation:

Given :-

I purchased a hair-dryer for ₹ 5,400 including 8% VAT.

To find :-

The price before VAT was added.

Solution :-

Let the price of the hair-dryer before VAT was added be ₹ X

VAT on the hair-dryer = 8% of the price

=> VAT amount = 8% of X

=> VAT amount = 8% × X

=> VAT amount = (8/100)×X

=> VAT amount = (2/25)×X

=> VAT amount = ₹ 2X/25

Purchased amount of the hair -dryer

= ₹ 5,400

We know that

Selling Price = Original price + VAT

=> Original Price = Selling Price - VAT

=> X = 5400 - (2X/25)

=> X = [(5400×25)-2X]/25

=> X = (135000-2X)/25

=> 25X = 135000-2X

=> 25X+2X = 135000

=> 27X = 135000

=> X = 135000/27

=> X = ₹ 5000

Therefore, Original price = ₹ 5000

Answer:-

The price before VAT was added is

₹ 5000

Used formulae:-

→ VAT = Value Added Tax

→ VAT is an increased percent of selling price

→ Selling Price = Original price + VAT

Answer 2

Answer:

₹5000

Step-by-step explanation:

Given :

• Price of a hairdryer with VAT = ₹ 5400
• VAT% = 8%

To Find :

• Original Price before G.S.T. was added.

Solution :

Let the original price was Rs x including a VAT of 8% of Rs x, it become of Rs 5400.

In simple words,

★ The initial price of hairdryer + VAT = 5400

$\sf\longrightarrow x + 8 \% \: of \: x = 5400$

$\sf\longrightarrow x + \bigg( \dfrac{8}{100} \times x\bigg) = 5400$

$\sf\longrightarrow x + \dfrac{8x}{100} = 5400$

$\sf\longrightarrow \dfrac{100x + 8x}{100} = 5400$

$\sf\longrightarrow\dfrac{108x}{100} = 5400$

$\sf\longrightarrow x = 5400 \times \dfrac{100}{108}$

$\sf\longrightarrow x = \cancel{5400} \times \dfrac{ 100}{ \cancel{108}}$

$\sf\longrightarrow x = 50 \times 100$

$\color{purple}{\bf\longrightarrow \underline{\boxed{ \bf \: x = Rs. \: 5000}}\bigstar}$

Therefore, the price before VAT was included is ₹ 5000.