Question

The marked price of an article is rupees 3500 and rate of VAT is 8%. A shopkeeper allows an discount of 20% and still makes a profit of 10%. Find the original cost price of the article and selling price including VAT.

Answer 1

Given
MRP=3500
VAT=8%
DISCOUNT =20%
PROFIT =10%

NOW
SP after giving 20%

Sp=Mrpx(100-discount)/100

Sp=3500x80/100 =2800

Sp=2800
Vat=8%
Then
Sp=2800x108/100
=3024.

Selling price including VAT=₹3024

Cp=spx100/(100+profit)

Cp=3024x100/110

Cp=₹2749.0909

this is the cost price if he owns the 10% profit on VAT included selling price.

Or

Cp=2800x100/110=₹2545.4545
this is the cost price if he earns the profit after giving the discount on selling price

This is ur ans hope it will help you in case of any doubt comment below

Answer 2

Answer:

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