Question

Ramya bought an air cooler for Rs. 3450 including a VAT of 15%. The price of the air cooler before VAT was added is

1) Rs. 2000
2) Rs. 2500
3) Rs. 2800
4) Rs. 3000​

Answer 1

Given :-

Price including VAT = ₹3450

VAT percentage = 15%

To Find :-

The price of the air cooler before VAT was added.

Solution :-

Let x be the price of the air cooler before VAT was added

Total VAT = 15% of x

${\sf{=\: {\dfrac{15}{100}}\: \times\: x}}$

${\sf{=\: {\dfrac{3x}{20}}}}$

Price including VAT = ${\sf{x\: +\: {\dfrac{3x}{20}}}}$

${\sf{=\: {\dfrac{20x\: +\: 3x}{20}}}}$

${\sf{=\: {\dfrac{23x}{20}}}}$

But also given that price including VAT = ₹3450

therefore,

According to question,

${\sf{3450\:=\: {\dfrac{23x}{20}}}}$

${\sf{\implies\: 3450\: \times\: 20\: =\: 23x}}$

${\sf{\implies\: x\: =\: {\dfrac{3450\: \times\: 20\:}{23}}}}$

${\sf{\implies\: x\: =\: 3000}}$

Therefore, price before adding VAT was ₹3000