Question

market price of an article is rs.2680 and rate of VAT is 8% .shopkeeper allows a discount of 20% and still makes a profit of 10% .if he spent 4% as overheads ,then find the original cost price of the article and final selling price including VAT.

Answer 1

Given that the marked price of the article = 2680 rupees.

Given Discount = 20%.

Discount = 20% of 2680

                = 20/100 * 2680

                = 536.


Selling price of the article = 2680 - 536

                                            = 2144


Given that VAT = 8%.

8% of 2144

= 171.52.


Now, 

Selling price including VAT = 2144 + 171.52

                                              = 2315.52.


Therefore the selling price including VAT = 2315.52


Given that he spent 4% as overheads.

Let the original cost price of the article be x.Then

Total Cost price = CP + Overheads

                           = x + 4% of x

                           = x + 4x/100 

                           = x + x/25

                           = 26x/25.


Given Profit = 10%.

Selling price = (1 + 10/100) of 26x/25

2144 = 110/100 * 26x/25

x = 2144 * 250/286

   = 536000/286

   = 1874.12.


Therefore the cost price = 1874.12.

Answer 2

ANSWER
.............


Discount = 20% of 2680

= 20/100 * 2680

= 536.


Selling price of the article = 2680 - 536
= 2144

Given that VAT = 8%.
8% of 2144
= 171.52.



Selling price including VAT = 2144 + 171.52

= 2315.52.


Therefore the selling price including VAT =2315.52



he spent 4% as overheads.

Let the original cost price of the article be P.Then

Total Cost price = CP + Overheads

= P + 4% of P

= P+ 4P/100

= P+ P/25

= 26P/25.


Profit = 10%.

Selling price = (1 + 10/100) of 26x/25

2144 = 110/100 * 26x/25

P = 2144 * 250/286

= 536000/286

= 1874.12.


Therefore the cost price = 1874.12.