Question

the printed price of an article is 60000,the wholesaler allowss a discount of 20%to the shopkeeper .the shop keeper sells the article to the customer at a printed price ,sales tax is charged at the rate of 6%at every stage .find the vat paid by the shopkeeper

Answer 1

pp.. = 60000
discount = 1-20/100 = 80/100
cp of shopkeeper = 80/100*60000 = 48000
tax paid = 6/100*48000 = 2880
cp of customer = 60000
tax paid = 6/100*60000 = 3600
vat paid by shopkeeper = 3600-2880 = Rs720