0

Commission, brokerage and vat - class-XI

Attempted 0/86 Correct 0 Score 0

The rate of $GST$ on stainless steel is $18\% $ of which the share of a state government is

  1. $18\%$

  2. $9\%$

  3. $36\%$

  4. None of these


Correct Option: B
Explanation:
rate of GST $= 18 \%$

Rate of CGST $=$ Rate Of SGST

rate of CGST + rate of SGST $= 18 \%$

$2\times $ rate of SGST $= 18 \%$

rate of SGST $= 9 \%$

state gov. share will be$ 9 \%$

The rate of GST on stainless steel utensils is $18$%, then the rate of State GST is

  1. $18$%

  2. $9$%

  3. $36$%

  4. $0.9$%


Correct Option: B
Explanation:

If GST is 18%, State GST or SGST is 9% and CGST is 9%.

Shop Inspection as part of a Registration in GST will be:

  1. A Pre-Condition for giving approval for a Registration Application

  2. Shop Inspection after the issuance of the GSTIN in all cases

  3. Only at the business place of those dealers which comes under the Risk Parameters of the concerned GST Officials or Risk Profile given by GSTN Common Portal

  4. No Shop Inspection at all


Correct Option: C

Rate of GST on brokerage is .....

  1. $5$%

  2. $12$%

  3. $18$%

  4. $28$%


Correct Option: C
Explanation:

Rate of GST on brokerage is $18$%.

'Tiptop Electronics' supplied an $AC$ of $1.5$ ton to a company. Cost of the $AC$ supplied is $Rs.\ 51,200$ (with $GST$). Rate of $CGST$ on $AC$ is $14\%$. Then find the following amounts as shown in the tax invoice of Tiptop Electronics.

  1. Rate of $SGST$

  2. Rate of $GST$ on $AC$

  3. Taxable value of $AC$

  4. Total amount of $GST$

  5. Amount of $CGST$

  6. Amount of $SGST$


Correct Option: A
Explanation:
According to the question 
(i) Rate of SGST
We know that, rate of CGST and SGST is same of the product
Rate of CGST on AC = Rate pof SGST on AC = $14%$

(ii) Rate of GST on AC = $14%$ CGST + $14%$ = $28%$

(iii) Let taxable value of AC be $x$
Amount of GST = Cost of AC with GST - Taxable value of AC
$28%$ of taxable value = $(51200-x)$
$28%$ of $x$ = $51200-x$
$\frac {28} {100} \times x = 51200-x$
$28x =100(51200-x)$
$28x+100x = 5120000$
$128x = 5120000$
$x=\frac {5120000}{128}$
$x = 40,000$

(iv) Amount of GST = $51200-x$ $= 51200-40000$
$= 11200$
Amount of GST $= 11,200$

(v) Amount of CGST $= 14%$ of taxable value
$\frac {14}{100} \times40000 = 5600$
Amount of CGST $= 5600$

(vi) Amount of SGST $= 5600$
Therefor the  SGST $= 5600$

















Which of the following tax is not subsumed in GST?

  1. Stamp duty

  2. VAT

  3. Entertainment TAX

  4. Exercise Duty


Correct Option: A
Explanation:

Stamp duty is not subsumed in GST and will be subsumed as per the tax levied by the government.

The net income of a business man after paying income tax at the rate of $5\%$ is $ $209,000$, then his gross income is 

  1. $250, 000$

  2. $269000$

  3. $249800$

  4. $220,000$


Correct Option: D
Explanation:
Let  gross income is $x$

Income tax is $5%$ of $x =\dfrac{5x}{100}$

$ then$

$x-\dfrac { 5x }{ 100 } =209,000$

$\dfrac { 95 }{ 100 } \times x=209,000$

$ x=\dfrac { 209,000\times 100 }{ 95 } =220,000$

$ Hence\quad the\quad gross\quad income\quad is\quad 220,000$

A shopkeeper sold a bicycle to a customer for  $Rs. 10304$ including GST. The rate of GST was $12\%$. Find SGST payable to him.

  1. $Rs. 1104$

  2. $Rs. 552$

  3. $Rs. 1210$

  4. $Rs. 605$


Correct Option: B
Explanation:
Let $x \to S.P$
$x + \dfrac{12}{100} \times x = 10304$
$\dfrac{112}{100} x = 10304$
$x = 9200$
$GST = 10304 - 9200$
$GST = 1104$
$SGST = 552$

Choose the correct answer and write the alphabet of it :
In the format of GSTIN there are _____ alpha numerals.

  1. $15$

  2. $10$

  3. $16$

  4. $9$


Correct Option: A
Explanation:
In the format of GSTIN(Goods and Service Taxes Identification Number),

GSTIN was a 15 digit apha numerical number, in which

First 2 digits represent the STATE CODE as per 2011 census

Next, 10 digits represent the PAN CODE NUMBER.

13th digit represents the number of legal registrations of the same

person/owner/owning enterprise within the same state under the same

designated 10 digit PAN number.

14th  digit is the default digit and most of the times it is represented by
alphabet Z.

15th digit was the check code digit for the GSTIN number previous digits

The cost of an article is $Rs 6,000$ to a distributor.He sells it to trader at Rs $7,500$ and the trader sells it to customer for $ Rs 8,000$. If the VAT rate is $12.5 \%$; find the VAT paid by trader.

  1. $10$

  2. $68.50$

  3. $52.50$

  4. $62.50$


Correct Option: D
Explanation:

$\Rightarrow$  $For\, Trader$

$\Rightarrow$   Cost price of an article = Rs. 7500
$\Rightarrow$   Tax paid  = 12.5% of 7500
$\Rightarrow$   Tax paid  = $\dfrac{12.5}{100}\times 7500 = Rs. 937.50$
$\Rightarrow$   Selling price of an article = Rs. 8000
$\Rightarrow$   Tax charged = 12.5% of 8000
$\Rightarrow$   Tax charged = $\dfrac{12.5}{100}\times 8000=Rs.1000$
$\Rightarrow$   VAT paid by trader  = $1000-937.50=Rs. 62.50$

A shop keeper sells an article at its list price $Rs \ 3,000$ and charges sale tax at the rate of $12 \%$. If the VAT paid by the shopkeeper is $Rs \ 72$ , at what price did the shopkeeper buys the article inclusive of sales tax?

  1. $2,688$

  2. $2,600$

  3. $2,500$

  4. None of these


Correct Option: A
Explanation:

$\Rightarrow$  Output tax = Tax realized by the retailer from the customer $= 12\%$ of $3000$.

$\Rightarrow$  Output Tax $=$ Rs. $360$.
$\Rightarrow$  Let the price of the article charged by the wholesaler be P before tax.
$\Rightarrow$  Then the input tax $= 12\%$ of P $=\dfrac{12P}{100}=\dfrac{3P}{25}$
$\Rightarrow$  $VAT = Output\, tax\, - Input\, tax$
$\Rightarrow$   $72=360-\dfrac{3P}{25}$
$\Rightarrow$   $\dfrac{3P}{25}=360-72$

$\Rightarrow$   $\dfrac{3P}{25}=288$

$\Rightarrow$   $P=288\times \dfrac{25}{3}$

$\therefore$    $P=Rs.2400$
$\Rightarrow$   Then, $Input\, tax=\dfrac{3\times 2400}{25}=Rs.288$
$\Rightarrow$  The required price = P + Input tax = Rs. 2400+288 = $Rs.2,688$. 

Gauri went to the stationers and bought things worth Rs.25, out of which 30 paise went on sales tax on taxable purchases. If the tax rate was 6 %, then what was the cost of the tax-free items?

  1. Rs. 15

  2. Rs. 15.70

  3. Rs. 19.70

  4. Rs . 20


Correct Option: C
Explanation:
Let the amount taxable purchases be Rs. x.

Then, $6$% of $x =\frac{30}{100}$

 $=>x =(\frac{30}{100}\times \frac{100}{6})=5$
 Cost of tax free items $= Rs. [25 - (5 + 0.30)] = Rs. 19.70$

Income of a person is Rs. 50,000. He pays income tax at the rate of 15%. Find the amount of income tax.

  1. 750 Rupees

  2. 7500 Rupees

  3. 1500 Rupees

  4. 75 Rupees


Correct Option: B
Explanation:

Income = Rs $50000$
Income Tax = 15 %
Thus, income tax = Rs 15% of 50000 = $\frac{15}{100} \times 50000$ = Rs $7500$
Thus, income tax paid is $Rs 7500$

Sarita purchases biscuits costing Rs. 158 on which the rate of Sales Tax is 6%. She also purchases some cosmetic goods costing Rs. 354 on which the rate of Sales Tax is 9%. Find the total amount to be paid by Sarita.

  1. $Rs. 553.34$

  2. $Rs.53.34$

  3. $Rs. 653.34$

  4. None of these


Correct Option: A
Explanation:

Sarita purchases biscuits costing $Rs 158$


And give sales tax $6%$ then sales tax$=\dfrac{158\times 6}{100}=Rs 9.48$


So total amount with $S.T=158.00+9.48=Rs. 167.48$

Cost of cosmetic goods is $Rs  354$

Then sales tax $@ 9% =$$\dfrac{354\times 9}{100}=Rs. 31.86$

So total amount with $S.T =354.00+31.86=Rs. 385.86 $

So total amount paid by Sarita $=167.48+385.86=Rs. 553.34$

Hamid purchases some articles costing Rs. 5,460. The shopkeeper charged Sales Tax at 8%. As Hamid wanted to take the articles purchases outside the State, the shopkeeper charged 3% as Central Sales Tax on the actual price of the articles. Find the total amount Hamid had to pay for the articles.

  1. $Rs. 6,060.60$

  2. $Rs.4,060.60$

  3. $Rs. 5,060.60$

  4. None of these


Correct Option: A
Explanation:

Hamid purchase some articles $Rs 5460$

He paid $8 \%$ sales tax on it =$\dfrac{5460\times 8}{100}=RS. 436.80$ 

And $3\%$ central sales tax on it =$\dfrac{5460\times 3}{100}=Rs. 163.80$

Then he pay total amount  $=5460.00+436.80+163.80= Rs.6060.60$

When the rate of sale-tax is decreased from 9% to 6% for a coloured T.V.; Mrs. Geeta will save Rs. 780 in buying this T.V. Find the list price of the T.V.

  1. $Rs. 26,000$

  2. $Rs. 25,000$

  3. $Rs. 30,000$

  4. None of these


Correct Option: A
Explanation:
Let the list price of T.V is $Rs x$

Then sales tax @9% =$\dfrac{x\times 9}{100}=\dfrac{9x}{100}$

And  sales tax @6% =$\dfrac{x\times 6}{100}$=$\dfrac{6x}{100}$ 

Then geeta save Rs $\dfrac{6x}{100}$-$\dfrac{6x}{100}$

But she save Rs 780

$\dfrac{9x}{100}-\dfrac{6x}{100}=780$

$\Rightarrow \dfrac{9x-6x}{100}=780$
$\Rightarrow 3x=78000$

$\Rightarrow x=26000$ 
Then list price of T.V $=Rs 26000$

An article is marked at Rs. 4,500 and the rate of sales-tax on it is 6%. A trader buys this article at some discount and sells it to a customer at the marked price. If the trader pays Rs. 81 as VAT, find:
(i) how much per cent discount does the trader get ?
(ii) the total money paid by the trader, including tax, to buy the article.

  1. $ 30\% ;  Rs. 3,339$

  2. $ 10\% ;  Rs. 2,339$

  3. $ 15\% ;  Rs. 4,339$

  4. None o these


Correct Option: A
Explanation:
Marked price of the article $=Rs.4500$
Rate of sales tax $=6\%$
VAT paid by the trader $=Rs.81$
C.P for the customer=Rs.4500
Sales tax paid=$4500\times \dfrac{6}{100}=Rs.270$
So sales tax paid by the trader$=270-81=Rs.189$
C.P for the trader$=\dfrac{4500\times 189}{270}=Rs.3150$
(1)
Amount of discount=$4500-3150=Rs.1350$
Rate of discount$=\dfrac{1350\times 100}{4500}=30$%
(2)
Total amount paid by the trader$=3150+6\%  of   3150$
$\Rightarrow 3150+\dfrac{6}{100}\times 3150$
$\Rightarrow 3150+189=Rs.3339$



______ is imposed on all stages between production and final sale.

  1. discount

  2. profit

  3. sales tax

  4. VAT


Correct Option: D
Explanation:

VAT is a type of tax that is assessed incrementally, based on the increase in value of a product or service at each stage of production or distribution.

The cost of a pair of shirts at a shop was Rs. $450$. The sales tax charged was $5\%$. Find the bill amount.

  1. $472.5$

  2. $432.5$

  3. $473.5$

  4. $433.5$


Correct Option: A
Explanation:

Cost price of a pair of shirts is Rs. $450$.

Tax charged is $5\%$
Tax charged $=$ $\dfrac{5}{100}\times 450=$ Rs. $22.5$
Bill amount $=$ Cost price $+$ Tax charged.
Bill amount $=$ Rs. $450+$ Rs. $22.5=$ Rs. $472.5$

The rate of GST on stainless steel utensils is $18\%$, then the rate of state GST is:

  1. $18\%$

  2. $9\%$

  3. $36\%$

  4. $0.9\%$


Correct Option: B
Explanation:

For intrastate movement, Central GST and State GST are two components of GST tax law. 

If a sale of Rs. $100$ occurs in a state itself, then CGST $9\%$ and SGST $9\%$ will be levied on the total bill, that is Rs. $118$ where Rs. $9$ will go to State Government and Rs. $9$ will go to Central Government. 

$\Rightarrow$ Rate of state GST $= 9\%$

In the format of GSTIN, how many alpha-numerals are present?

  1. $15$

  2. $10$

  3. $16$

  4. $9$


Correct Option: A
Explanation:

Every taxpayer is assigned a state-wise PAN-based Goods and Services Taxpayer Identification Number (GSTIN), which has 15 alpha-numerical present.

Rate of GST on brokerage is:

  1. $5\%$

  2. $12\%$

  3. $18\%$

  4. $28\%$


Correct Option: C
Explanation:

Brokerage is a service and comes under the provision of GST. There is 18% GST rate on brokerage on transaction value.

To find the cost of one share at the time of buying the amount of Brokerage and GST is to be _______ the MV of share.

  1. added to

  2. subtracted from

  3. multiplied with

  4. divided by


Correct Option: A
Explanation:

Cost of Share $=$ Market Value of Share $+$ Amount of Brokerage & GST

Rate of GST on essential commodities is:

  1. $5\%$

  2. $12\%$

  3. $0\%$

  4. $18\%$


Correct Option: C
Explanation:

Items such as unbranded atta/maida/besan, unpacked food grains, milk, eggs, curd, lassi, fresh vegetables and contraceptives, come under the category of essential commodities used by common man, and are exempted from GST($0\%$).

In the format of GSTIN there are ...... alpha-numerals.

  1. $15$

  2. $10$

  3. $16$

  4. $9$


Correct Option: A
Explanation:

GSTIN contains 2 digits of state code, followed by 10 alpha-numeric characters of owner's PAN number, then State registration number and letter Z, last digit or alphabet is the checksum. So in total there are 15 alpha-numerals. 

To find the cost of one share at the time of buying the amount of Brokerage and GST is to be ____ the MV of share.

  1. Added to

  2. Substracted from

  3. Multiplied with

  4. Divided by


Correct Option: A
Explanation:

Cost of share $=$ (Brokerage $+$ GST $+$ MV of share)

An article was purchased for $Rs. 1239$ including GST of $18\%$. Find the price of the article before GST was added

  1. Rs. $1050$

  2. Rs. $1100$

  3. Rs. $1150$

  4. Rs. $1200$


Correct Option: A
Explanation:

Given:

$GST=18\%$

Now   $118\%$ of $x=1239$

$\dfrac{118x}{100}=1239$

$x=\dfrac{123900}{118}$

$x=1050Rs$

The price of the article before GST was added $=1050Rs$

Rajeev buys good worth $Rs.6650$. He gets a rebate of $6$% on it. After getting the rebate, he pays sales tax@ $10$%. Find the amount he will have to pay for the goods.

  1. $6876.10$

  2. $6999.20$

  3. $6654$

  4. $7000$


Correct Option: A
Explanation:

Rebate$=6\%, MP=Rs.6650$


$SP=94\%\times 6650=Rs.6251$


Sales tax$=10\%$

Total amount Rajeev pays$=10\%\times 6251 +  6251=Rs. (625.1  + 6251 ) =$ Rs.$6876.10$.

$6\%$ SGST was charged on the pen having cost Rs. $300$, then find the amount of CGST charged.

  1. Rs. $24$

  2. Rs. $12$

  3. Rs. $16$

  4. Rs. $18$


Correct Option: D
Explanation:

Cost of Pen $=Rs. 300$


SGST $=6$% of $300$

$=\cfrac{6}{100}\times 300$

$=Rs. 18$

Since SGST $=$ CGST

$\Rightarrow $CGST $=Rs. 18$

Shyam purchases a scooter costing $Rs.36,450$ and the rate of sales tax is $9%$, then the total amount by her is:

  1. $Rs.36,490.50$

  2. $Rs.39,730.50$

  3. $Rs.36,454.50$

  4. $Rs.33,169.50$


Correct Option: A

The rate of GST on the spices is $5\%$ which includes the rate of CGST

  1. $5\%$

  2. $10\%$

  3. $2.5\%$

  4. $0.5\%$


Correct Option: A

How many alpha numerals are there in the $GSTIN$ of a registered dealer

  1. $15$

  2. $10$

  3. $16$

  4. $9$


Correct Option: B

The cost of furniture inclusive of VAT is $Rs.\ 7150$. If the rate of VAT is $10\%$, find the original cost of the furniture.

  1. $Rs.\ 5000$

  2. $Rs.\ 3000$

  3. $Rs.\ 6500$

  4. $Rs.\ 2000$


Correct Option: A
Explanation:

Let the cost be Rs $x$
VAT $= 10 \%$
Cost including VAT $= Rs. 7150 = x + 10 \%$ of $x$
$7150 = x + \cfrac{10}{100} \times x$
$7150 = \cfrac{110}{100} x$
$x = Rs. 6500$
Thus, original cost of the furniture is $Rs. 6500$

The marked price of an article is Rs. $900$ and the rate of sales tax on it is $6 \%$.If on selling the article at its marked price, a retailer has to pay Rs $4.80$ ; find the money paid by him (including sales tax) for purchasing the article.

  1. $700.40$

  2. $800.20$

  3. $829.20$

  4. $869.20$


Correct Option: D
Explanation:

Let the profit of the retailer $=$ Rs. $x$

As the VAT paid by the shopkeeper is Rs. $4.80$ and rate of sales tax is $6\%$, then $6\%$ of $x$ $=4.80$.
$\Rightarrow \dfrac {6}{100}\times x=4.80$
$\Rightarrow x=\dfrac {480}{6}=80$
Now, profit of the retailer $=900-80=$ Rs. $820$
Sales tax paid by the retailer $=6\%$ of Rs. $820=\dfrac {6}{100}\times 820=$ Rs.$49.20$.
So, price of the article including sales tax paid by the retailer $=820+49.20=$ Rs. $869.20$.
Therefore, the money paid for purchasing the article is Rs. $869.20$.

The cost of an article is $Rs\ 6,000$ to a distributor.He sells it to trader at $Rs \ 7,500$ and the trader sells it to customer for $Rs \ 8,000$. If the VAT rate is $12.5 \%$; find the VAT paid by distributor.

  1. Rs. 167.50

  2. Rs.177.50

  3. Rs. 180.50

  4. Rs.  187.50


Correct Option: D
Explanation:

Vat rate = $12.5 \%$

Cost paid by distributor= $Rs \ 6000$
Then VAT paid by  distributor=$\dfrac{12.5}{100}\times 6000=750$ Rs
Cost paid by trader= $Rs  \ 7500$
VAT paid by trader=$\dfrac{12.5}{100}\times 7500=937.50$Rs 
Therefor VAT paid by Distributor= $Rs \ 750$
And VAT paid by trader = $Rs\ 937.50$
   

Vishal goes to a shop to buy a radio costing Rs. $2568$. The rate of sales tax is $7$%. He tells the shopkeeper to reduce the price of the radio to such an extent that he has to pay Rs. $2568$, inclusive of sales tax. Find the reduction needed in the price of the radio

  1. Rs. $179.76$

  2. Rs. $170$

  3. Rs. $168$

  4. Rs. $169$


Correct Option: C
Explanation:

Let reduced price of the radio be Rs $ x$
$\therefore x+ \dfrac{7}{100} \times  x = 2568$
$ \Rightarrow 107x  = 256800$
$ \Rightarrow x = 2400$
$\therefore$ Reduction in the price of radio $ = 2568 - 2400 = 168$

Anad paid Rs30 as sales tax on a bottle of mineral water with marked price as Rs 400. Calculate the rate of sales tax.

  1. 15%

  2. 12.5%

  3. 6%

  4. 7.5%


Correct Option: D
Explanation:

Marked price=$Rs\ 400$

Sales tax=$Rs\ 30$
Let the rate of sales tax be $x$
Therefore,
$\Rightarrow x\%\ of\ 400=30$
$\Rightarrow \dfrac{x}{100}\times 400=30$
$\Rightarrow 4x=30$
$\Rightarrow x=\dfrac{30}{4}$
$\Rightarrow x=7.5\%$

Som purchased a cycle for Rs $1,664$ including sales lax. The list price of the cycle is Rs $1,600$, then the rate of sales tax is

  1. $4$%

  2. $5$%

  3. $6$%

  4. $7$%


Correct Option: A
Explanation:

Given, List price of cycle $=$ Rs.$1, 600$
Som purchased a cycle $=$ Rs. $ 1,664$
Sales tax is on the the list price.
Hence, rate of sales tax $=$ $ \dfrac{(1664 - 1600)}{1600} \times{100}$ $=$ $ 4$ $\%$

Shyam buys an article for Rs $10,000$ and pays $7\%$ tax. He sells the same article for Rs $13,000$ and charges $9 \%$ tax. Find the VAT paid by shyam.

  1. $470$

  2. $520$

  3. $670$ 

  4. $680$

  5. None of these


Correct Option: A
Explanation:

$\Rightarrow$  Cost of article $= Rs. 10,000$.

$\Rightarrow$  Tax paid by Shyam $= 7\%$ of Rs. $10,000$
$\Rightarrow$  Tax paid by Shyam = $\dfrac{7}{100}\times 10000=Rs.700$
$\Rightarrow$  Selling price of the article  $=$ Rs. $13,000$
$\Rightarrow$  Tax charged at $9\% = 9\%$ of $13,000$
$\Rightarrow$  Tax charged at $9\% = \dfrac{9}{100}\times 13000=$ Rs. $1170$
$\Rightarrow$  VAT = Tax recovered on sale - Tax paid on purchase
$\Rightarrow$  VAT $= 1170 - 700$
$\therefore$   $VAT=Rs.470$


A colour TV is available for Rs 13,440 inclusive of sales tax. If the original cost of TV is Rs 12,000, then the rate of sales tax is:

  1. 10%

  2. 12%

  3. 13%

  4. 14%


Correct Option: B
Explanation:

We have list price of the TV=Rs$12000$

Let the rate of Sales Tax be $x$%
Now, the rate of Sales Tax will be$=\dfrac { x }{ 100 } \times 12000=120x$
Price including sales tax$=13440$
$\Rightarrow 12000+120x=13440$
 $\Rightarrow 120x=1440$
$\Rightarrow x=\dfrac { 1440 }{ 120 } =12$
So the rate of sales tax is $12$%

A shopkeeper purchases an article for Rs 6200 and sells it to customer for Rs 8500. If sales tax is 8% , find the VAT paid by shopkeeper.

  1. $185$

  2. $184$

  3. $187$

  4. $190$


Correct Option: B
Explanation:

$\Rightarrow$  Purchase price for Shopkeeper $= Rs.\ 6,200$

$\Rightarrow$  Sale price for shopkeeper $= Rs.\ 8,500$
$\Rightarrow$  Tax paid by the shopkeeper $= 8\%$ of $6,200 = \dfrac{8}{100}\times 6,200=Rs.\ 496$
$\Rightarrow$  Tax charged by the shopkeeper $= 8\%$ of $8,500 = \dfrac{8}{100}\times 8,500=Rs.\ 680$
$\Rightarrow$  Then VAT paid by the shopkeeper = $Rs.680-Rs.496=Rs.184$

Tanya buys a leather coat costing Rs. 3,600, the rate of Sales Tax being 10%. She asks the shopkeeper to reduce the price of the coat to such an extent that she does not have to pay anything more than Rs. 3,366 including Sales Tax. Calculate:
(i) the reduction needed in the cost price of the coat,
(ii) the reduction as percent.

  1. (i) Rs. 320      (ii) 12%

  2. (i) Rs. 840      (ii) 15%

  3. (i) Rs. 540      (ii) 15%

  4. (i) Rs. 520      (ii) 12%


Correct Option: C
Explanation:
Let the cost price for the Tarun be rs.x
$\therefore x+10\% $ of $x=3366$

$\Rightarrow x+\dfrac{10x}{100}=3366$

$\Rightarrow \dfrac{110x}{100}=3366$

$\Rightarrow x=\dfrac{33660}{11}=Rs.3060$

(i)The reduction needed in the cost price of the coat
$\Rightarrow 3600-3060=Rs.540$

(II)Reduction Percentage$=\dfrac{540}{3600}\times 100=15$%

The marked price of two articles $A$ and $B$ together is Rs. 6000. The sales tax on article $A$ is 8% and that on article $B$ is 10%. If on selling both the articles, the total sales tax collected is Rs. 552, find the marked price of each of the articles $A$ and $B$.

  1. $A =$ Rs. $2,600$;  $B =$ Rs. $3,900$.

  2. $A =$ Rs. $2,900$;  $B =$ Rs. $2,700$.

  3. $A =$ Rs. $2,700$;  $B =$ Rs. $2,200$.

  4. $A =$ Rs. $2,400$;  $B =$ Rs. $3,600$.


Correct Option: D
Explanation:
Let the M.P of the article A=$Rs.x$
Then M.P of the article B $=Rs(6000-x)$
Then according to the question

$\dfrac{8}{100}x+\dfrac{10}{100}(6000-x)=552$

$\Rightarrow \dfrac{8x}{100}+600-\dfrac{10x}{100}=552$

$\Rightarrow \dfrac{8x}{100}-\dfrac{10x}{100}=552-600$

$\Rightarrow -\dfrac{2x}{100}=-48$

$\Rightarrow x=\dfrac{4800}{2}=2400$

Hence M.P of article A $=Rs. 2400$
Then M.P of article $B=6000-2400=Rs.2600$


A shopkeeper sells an article for Rs. 21,384 including 10% sales-tax. However, the actual rate of sales-tax is 8%. Find the extra profit made by the dealer.

  1. Rs. 230

  2. Rs. 388.80

  3. Rs. 540.40

  4. Rs. 810


Correct Option: B
Explanation:
Let the M.P of the article be $x$

$\therefore x+10\%$  of $x=21384$

$\Rightarrow x+\dfrac{10}{100}x=21384$

$\Rightarrow \dfrac{110x}{100}=21384$

$\Rightarrow x=\dfrac{213840}{11}=Rs.19440$

If the rate of sales $tax=8\%$

$\therefore $new selling price$=19440+8\% $ of $19440$

$\Rightarrow 19440+\dfrac{8}{100}\times 19440$

$\Rightarrow 19440+1555.20=rs.20995.20$

Profit made by the dealer$=21384-20995.20=Rs.388.80$


A bicycle is available for Rs. 1,664 including Sales Tax. If the list price of the bicycle is Rs. 1,600, find:
(i) the rate of Sales Tax
(ii) the price, a customer will pay for the bicycle if the Sales Tax is increases by 6%.

  1. (i) 1%
    (ii) Rs. 1,110

  2. (i) 2%
    (ii) Rs. 1,290

  3. (i) 3%
    (ii) Rs. 1,530

  4. (i) 4%
    (ii) Rs. 1,760


Correct Option: D

A shopkeeper buys an article for Rs. 800 and spends Rs. 100 on its transportation, etc. He marks the article at a certain price and then sells it for Rs. 1,287 including 10% sales tax. Find this profit as per cent.

  1. 10%

  2. 20%

  3. 30%

  4. 40%


Correct Option: C
Explanation:
C.P of the article=$800+100=Rs.900$
Let the $M.P=Rs.x$

$\therefore x+10\%$ of $x=1287$

$\Rightarrow x+\dfrac{10x}{100}=1287$

$\Rightarrow \dfrac{110x}{100}=1287$

$\Rightarrow x=\dfrac{1287\times 100}{110}$

$\Rightarrow x=Rs.1170$

Profit=$1170-900=Rs.270$

Profit%$=\dfrac{270}{900}\times 100=30$%

A shopkeeper marks his goods 40% above the cost price and then allows discount of 20%. Find how much will a customer pay for an article which costs the shopkeeper Rs. 200 and a Sales Tax of 10% is levied on the sale price of the article. (Give your answer correct to the nearest rupee).

  1. Rs. 246

  2. Rs. 297

  3. Rs. 323

  4. Rs. 356


Correct Option: A
Explanation:
Cost Price =Rs.200
Shopkeeper Mark the price 40% above the cost price then
$M.P=200+40\%  of  200$
$\Rightarrow 200+\dfrac{40}{100}\times 200$
$\Rightarrow 200+80=Rs.280$
Discount=20%
Then Price after discount$=280-20\% of 280$
$\Rightarrow 280-\dfrac{20}{100}\times 280$
$\Rightarrow 280-56=Rs.224$
Sales tax rate=10%
Then sales price$=224+10\% of 224$
$\Rightarrow 224+\dfrac{10}{100}\times 224$
$\Rightarrow 224+22.4=246.4\sim Rs.246$


The price of a T.V. set inclusive of Sales Tax of 9% is Rs. 13,407. Find its marked price. If Sales Tax is increased to 13%, how much more does the customer has to pay for the T.V. ?

  1. Rs. 18,300;  Rs. 900.

  2. Rs. 16,300;  Rs. 720.

  3. Rs. 14,300;  Rs. 630.

  4. Rs. 12,300;  Rs. 492.


Correct Option: D
Explanation:

let the marked price is $Rs.x$


$\therefore  x+9\%$  of $x=13407$


$\Rightarrow x+\dfrac{9}{100}=13407$

$\Rightarrow \dfrac{109x}{100}=13407$

$\Rightarrow x=\dfrac{13407\times 100}{109}$

$\Rightarrow x=Rs. 12300$

If the sales tax is increased 13% then
The price of the T.V$=12300+13\%$  of $12300$

$\Rightarrow 12300+\dfrac{13}{100}\times 12300$

$\Rightarrow 12300+1599=Rs.13899$

$\therefore$ customer pay =$13899-13407=Rs.492$ 

A trader buys an unfinished article for Rs. 1,800 and spends Rs. 600 on its finishing, packing, transportation, etc. He marks the article at such a price that will give him 20% profit. How much will a customer pay for the article including 12% sales tax.

  1. Rs. 1223.20

  2. Rs. 2556.70

  3. Rs. 3000.30

  4. Rs. 3225.60


Correct Option: D
Explanation:
`C.P of the article$=1800+600=Rs.2400$
Profit=20%
$\therefore S.P=\dfrac{100+profit\%}{100}\times 2400$

$\Rightarrow \dfrac{100+20}{100}\times 2400$

$\Rightarrow Rs.2880$

Then $M.P=Rs.2880$

Sales tax $rate=12\%$

Then customer will pay=$2880+12\%  of 2880$

$\Rightarrow 2880+\dfrac{12}{100}\times 2880$

$\Rightarrow 2880+345.6=Rs.3225.60$

A shopkeeper announces a discount of 15% on his goods. If the marked price of an article, in his shop, is Rs. 6,000; how much a customer has to pay for it, if the rate of Sales Tax is 10% ?

  1. Rs. 5320

  2. Rs. 5610

  3. Rs. 5930

  4. Rs. 6120


Correct Option: B

The catalogue price of a colour T.V. is Rs. 24,000. The shopkeeper gives a discount of 8% on the list price. He gives a further off season discount of 5% on the balance. But Sales Tax at 10% is charged on the remaining amount. Find:
(a) the Sales Tax a customer has to pay
(b) the final price he has to pay for the T.V.

  1. (a) Rs. 2,16060    (b) Rs. 23,112.60

  2. (a) Rs. 2,097.60    (b) Rs. 23,073.60

  3. (a) Rs. 1,976.60    (b) Rs. 23,243.60

  4. (a) Rs. 1,850.60    (b) Rs. 23,513.60


Correct Option: B
Explanation:

List price $=Rs.24000$


Discount $=8\%$


Price of T.V after Discount

$\Rightarrow 24000-8\%$  of  $ 24000$

$\Rightarrow 24000-\dfrac{8}{100}\times 24000$

$\Rightarrow 24000-1920=Rs.22080$

Off season Discount=5%
Price of T.V after off season discount

$\Rightarrow 22080-5\% of 22080$

$\Rightarrow 22080-\dfrac{5}{100}\times 22080$

$\Rightarrow 22080-1104=Rs.20976$

Rate of Sales tax=10%
(a)Customer has to pay sales tax

$\Rightarrow 10\% of 20976$

$\Rightarrow \dfrac{10}{100}\times 20976=Rs.2097.60$

(b)The final price he has to pay

$\Rightarrow 20976+2097.60=Rs.23073.60$

A toy is purchased for Rs. 591.36 which includes 12% rebate on the printed price and 12% Sales Tax on the sale price of the toy. Find the printed price of the toy.

  1. Rs. 800

  2. Rs. 600

  3. Rs. 400

  4. Rs. 300


Correct Option: B
Explanation:
Let the printed price be $Rs.x$

Rebate $=12\%$

Then sales price$=x-12\%  of  x$

$\Rightarrow x-\dfrac{12x}{100}$

$\Rightarrow (x-.12x)$

Sales tax rate $=12\%$

Then sales tax $= 12\%$  of   $(x-.12x)$

$\Rightarrow \dfrac{12}{100}\times (x-.12x)$

$\Rightarrow .12(x-.12x)$

Then according to the question
$(x-.12x)+.12(x-.12x)=591.36$

$\Rightarrow x-.12x+.12x-.0144x=591.36$

$\Rightarrow .9856x=591.36$

$\Rightarrow x=\dfrac{591.36}{.9856}=600$


A shopkeeper sells an article at the listed price of Rs. $1,500$ and the rate of $VAT$ is $12\%$ at each stage of sale. If the shopkeeper pays a $VAT$ of Rs. $36$ to the Government, what was the price, inclusive of Tax, at which the shopkeeper purchased the article from the wholesaler ?

  1. Rs. $962$

  2. Rs. $1142$

  3. Rs. $1344$

  4. Rs. $1632$


Correct Option: C
Explanation:

Let the profit of the shopkeeper is Rs.$x$.

The value of the article increased by the shopkeeper is Rs.$x$
$VAT$ paid by the shopkeeper is Rs.$36$ at rate of sales tax $12\%$
$\therefore $ $12\%$ of $x=36$
$\Rightarrow \dfrac{12}{100}x=36$
$\Rightarrow x=\dfrac{36\times 100}{12}=$ Rs.$300$
$\therefore$ Profit of the shopkeeper $=$ Rs.$300$
Price of the article at which shopkeeper bought the article fron the wholesaler $=1500-300=$ Rs.$1200$
Sales tax paid by the shopkepper $=12\%$ of $1200$
$\Rightarrow \dfrac{12}{100}\times 1200=$ Rs.$144$
$\therefore$ The price at which the shopkeeper purchased the article from the wholesaler$=1200+144=$ Rs.$1344$

Geeta purchased a face-cream for Rs. $79.10$ including Sales Tax. If the printed price of the face-cream is Rs. $70$; find the rate of Sales Tax.

  1. $7\%$

  2. $10\%$

  3. $13\%$

  4. $18\%$


Correct Option: C
Explanation:

Total price (including Sales Tax) $=$ Rs. $79.10$ and, printed price $=$ Rs. $70$
$\therefore$ Sales Tax paid $=$ Rs. $79.10 -$ Rs. $70 =$ Rs. $9.10$
and the rate of Sales Tax $= \displaystyle\frac{9.10}{70} \times 100\% = 13\%$

A shopkeeper buys an article for Rs. 7,500 and increases its price. He sells this article for Rs. 9,156 including 9% Sales Tax on the increased price. Calculate, by how much per cent does the shopkeeper increase the price of the article.

  1. 5%

  2. 7%

  3. 9%

  4. 12%


Correct Option: D
Explanation:
Let the M.P $=Rs.x$

$\therefore x+9\%$  of $x=9156$

$\Rightarrow x+\dfrac{9x}{100}=9156$

$\Rightarrow 109x=915600$

$\Rightarrow x=\dfrac{915600}{109}=Rs.8400$

Increased price $=8400-7500=Rs.900$

% increase$=\dfrac{900}{7500}\times 100=12$%

Given basic price $=12000$, VAT $=10\%$, find VAT to be paid.

  1. $1200$

  2. $120$

  3. $1500$

  4. $1000$


Correct Option: A
Explanation:

VAT $=\begin{pmatrix}\dfrac{VAT\%}{100}\end{pmatrix}\times\text{basic price}$
VAT $=\begin{pmatrix}\dfrac{10}{100}\end{pmatrix}\times12000$
VAT $=1200$

When you buy a car for $15,000$ rupees and pay $10\%$ in tax. How much is sales tax?

  1. Rs. $15,000$

  2. Rs. $20,000$

  3. Rs. $16,500$

  4. Rs. $17,000$


Correct Option: C
Explanation:

Given:
Person buys car for Rs. $ 15,000$
Pays tax of $ 10 $ $\%$
Sales tax is calculated on the buying cost.
Total tax = $ 15000\times(\dfrac{10}{100})$
$=$ Rs .$ 1500 $
Total Sales Tax $=$  cost $+$ Tax 
$=$ $  15000 + 1500$
$=$ Rs .$ 16,500$

Thus, the sales tax is Rs. $16,500$.

Ram purchased a phone for Rs $5400$ including VAT. Find the price before VAT was added . The VAT is $8 \%$

  1. $5000$

  2. $500$

  3. $50000$

  4. $540$


Correct Option: A
Explanation:
Let the price before VAT be $Rs. x$

Then Price after VAT = $\dfrac{108x}{100}$

Hence  $x$ $ =5400\times\begin{pmatrix}\dfrac{100}{108}\end{pmatrix}=5000$

Find the final price for the product after a tax is applied for diamond ring. The cost of the ring is $280$ rupees and the tax rate is $12\%$.

  1. Rs. $313.6$

  2. Rs. $302,4$

  3. Rs. $307.12$

  4. Rs. $312.3$


Correct Option: A
Explanation:

$\Rightarrow$  Cost price of ring is $Rs.280$

$\Rightarrow$  Tax rate is $12\%$
$\Rightarrow$  Tax applied on a ring = $280\times \dfrac{12}{100}=Rs.33.6$
$\Rightarrow$  Final Price = Cost price of ring + Tax applied on a ring
$\Rightarrow$  Final price = $Rs.280+Rs.33.6=Rs.313.6$

When you buy a home for $2,50,000$ rupees and pay $50\%$ in tax. How much is tax?

  1. Rs. $2,50,000$

  2. Rs. $1,25,000$

  3. Rs. $3,75,000$

  4. None of these


Correct Option: B
Explanation:

Given: Person buys home for Rs. $2,50,000$
Tax paid is $50$ $\%$ of the cost
Hence,

Tax $=$ $ 2,50,000\times (\dfrac{50}{100})$
$=$ $ 1,25,000$

The cost price of a saree is Rs. $1450$. The sales tax charged was $8\%$. Find the bill amount.

  1. Rs. $1540$

  2. Rs. $1566$

  3. Rs. $1254$

  4. Rs. $1584$


Correct Option: B
Explanation:

Given, cost price of a saree is Rs. $1450$, tax charged $=8\%$
Tax paid $=\begin{pmatrix}\dfrac{8}{100}\end{pmatrix}\times1450=$ Rs. $116$
Thus, bill amount $=$ Rs. $\begin{bmatrix}1450+116\end{bmatrix}=$ Rs. $1566$.

Mike wants to buy something that costs $Rs. 1350$ before VAT. VAT is charged at $14\%$. Calculate the total cost after VAT is added.

  1. $Rs. 1500$

  2. $Rs. 1539$

  3. $Rs. 1234$

  4. $Rs. 1589$


Correct Option: B
Explanation:

VAT $=14\%$ of the cost  $=\dfrac{14}{100}\times 1350=189$


So the total cost including VAT $=1350+189=1539$

John wants to buy something that costs $Rs. 230$ before VAT. VAT is charged at $0.5\%$. Calculate the total cost after VAT is added.

  1. $Rs. 234.5$

  2. $Rs. 239.1$

  3. $Rs. 239.4$

  4. $Rs. 231.15$


Correct Option: D
Explanation:

VAT $=0.5\%$ of the cost  $=\dfrac{0.5}{100}\times 230=1.15$


So the total cost including VAT $=230+1.15=231.15$

A phone has a cost of $Rs. 1200$ excluding VAT at $10\%$. After VAT is included, what is the total cost?

  1. $Rs. 1200$

  2. $Rs. 1230$

  3. $Rs. 1320$

  4. $Rs. 2301$


Correct Option: C
Explanation:

VAT $=10\%$ of the cost  $=\dfrac{10}{100}\times 1200=120$


So the total cost including VAT $=1200+120=1320$

What is the final price of the product, after a tax is applied for an Apple tablet. The cost of the Apple tablet is Rs. $235.90$ and the tax rate is $3.4\%$?

  1. Rs. $243.567$

  2. Rs. $243.9206$

  3. Rs. $216.897$

  4. Rs. $268.120$


Correct Option: B
Explanation:

Given:
Cost of Apple tablet $=$ C.P $+$ Rs. $235.90$
Tax rate $=$ $ 3.4 $ $\%$

Total cost of the tablet $=$ C.P $+$ Tax rate on C.P.
$=$ $ \dfrac{3.4}{100} \times {235.90}=144$
Therefore, the final price of the apple tablet is $235.90 + 8.0206 = 243.9206$ rupees.

What is the actual cost of sweet if you get a discount of $10$% and pays $5$% for tax. Discount price $=100$

  1. $94.5$

  2. $95$

  3. $99.5$

  4. None


Correct Option: A
Explanation:

Discount $=100\times \cfrac{10}{100}=10$
Sales price $=100-10=90$; Tax$=90\times \cfrac{5}{100}=4.5$
Actual cost $=90+4.5=94.5$

Find the final price for the product after a tax is applied for book shelve. The cost of the book shelve is Rs. $1200$ rupees and the tax rate is $12\%$.

  1. Rs. $1200$

  2. Rs. $1244$

  3. Rs. $1344$

  4. Rs. $1320$


Correct Option: C
Explanation:

Given: Cost of book shelve $=$ C.P $+$ $Rs.1200$
Tax rate $=$ $ 12 $%
Total cost of the shelve $=$ C.P $+$ Tax rate on C.P
$=$ $ \dfrac{12}{100} \times {1200}=144$
Therefore, the final price of the book shelve is Rs. $1200 + 144 = 1344$.

A furniture has a cost of $Rs. 300$ excluding VAT at $20\%$. After VAT is included, what is the total cost?

  1. $Rs. 300$

  2. $Rs. 340$

  3. $Rs. 360$

  4. $Rs. 380$


Correct Option: C
Explanation:

VAT $=20\%$ of the cost  $=\dfrac{20}{100}\times 300=60$


So the total cost including VAT $=300+60=360$.

Sumeet bought a cycle for $Rs.2000$ and pays $10$% in tax. How much is tax?

  1. $Rs.200$

  2. $Rs.300$

  3. $Rs.400$

  4. $Rs.100$


Correct Option: A
Explanation:

Tax$=2000\times \cfrac{10}{100}=200$

Before adding VAT at $13\%$, a bike's cost is $Rs. 350$. What is the total cost including VAT?

  1. $Rs. 395.5$

  2. $Rs. 345.2$

  3. $Rs. 390.2$

  4. $Rs. 316.7$


Correct Option: A
Explanation:

VAT $=13\%$ of the cost  $=\dfrac{13}{100}\times 350=45.5$


So the total cost including VAT $=350+45.5=395.5$

The cost of a pair of shirts at a shop was Rs. $450$. The sales tax charged was $5\%$. Find the bill amount.

  1. $172.50$

  2. $272.50$

  3. $372.50$

  4. $472.50$


Correct Option: D
Explanation:

Given:
Selling price $=$ Rs. $450$
We know that Sales tax $= 5\%$ of $450$
$=$ $\dfrac{5\times 450}{100}$
$=$ Rs. $22.50$
Therefore, bill amount $=$ selling price $+$ sales tax
$= 450 + 22.50$
$=$ Rs. $472.50$
The bill amount is Rs.$ 472.50$.

In Chennai, Caleb plans to purchase a particular service for Rs. $1300$, plus VAT at $14.5\%$. What is the total cost including VAT?

  1. $1388.5$

  2. $188.5$

  3. $1488.5$

  4. $1300$


Correct Option: C
Explanation:

Total cost with VAT $=$ cost without VAT $+ 14.5\%$ of cost without VAT
$= 1300 + \dfrac{14.5}{100}\times 1300$
$= 1300 + 188.5$
$= 1488.5$
Therefore, total cost including VAT is Rs. $1488.5$.

An item costs Rs. $2400$. The sales tax is $16\%$. What is the cost of the item after taxes?

  1. $2784$

  2. $2400$

  3. $2016$

  4. $2500$


Correct Option: A
Explanation:

Sales tax $= 16\%$ of Rs. $2400$
$=$ $\dfrac{16}{100}\times 2400$
$= 384$
Total sales tax $= 2400 + 384$
$=$ Rs. $2784$

Therefore, cost of item after taxes is Rs. $2784$.

In Chennai, sales tax is $10.20\%$. What is the tax on items that total Rs. $1450$ before tax?

  1. $1000$

  2. $1450$

  3. $1597.90$

  4. $1302.10$


Correct Option: D
Explanation:

According to question, we have

Sales tax $= 10.20\%$ of Rs. $1450$
$=$ $\dfrac{10.20}{100}\times 1450$
$= 147.90$
Before tax cost of the item $= 1450 - 147.40$
$=$ Rs. $1302.10$

According to the following data, calculate the cost that an average household pays for gasoline.

  • The gasoline tax rate is $18.4$ cents per gallon. 
  • The average motor vehicle is driven approximately $11,340$ miles per year. 
  • The national average fuel economy for non-commercial vehicles is $21.4$ miles per gallon. 
  • The average American household owns $1.75$ vehicles.

  1. $55.73

  2. $68.91

  3. $97.52

  4. $170.63


Correct Option: D
Explanation:

$11340$ miles per year is the average motor vehicle driven.

The average fuel economy is $21.4$ miles per gallon, so gallons used per vehicle per year turn out to be $\dfrac{11340}{21.4} = 529.90$
The average American household owns $1.75$ vehicles and so the gallons used per household per year become $529.90 \times 1.75 = 927.325$
Since the gasoline tax is $18.4$ cents per gallon, the total tax paid becomes $927.325 \times 18.4 = 17062.78$ cents $= $ 170.63$

Ann stays in a hotel for Rs. $100$ per night. She stays for three nights and pays a sales tax of $12\%$. How much did she pay?

  1. $12$

  2. $24$

  3. $36$

  4. $48$


Correct Option: C
Explanation:
Per night charge of hotel is Rs. $100$.
Three nights stay would be then $= 3 \times  100 = 300$
Sales tax $= 12\%$ on Rs. $300$
$=$ $\dfrac{12}{100}\times 300$
$= 36$
Therefore, tax paid by Ann is Rs. $36$.

A manufacturer buys a raw materials for Rs. 3000 and pays 4% tax. He sells the ready stock for Rs. 5000 and charges 4% tax. Find the VAT paid by the manufacturer.

  1. 20

  2. 40

  3. 80

  4. 60


Correct Option: C
Explanation:

Cost price of the raw material = Rs. 3000
Selling price of the raw material = Rs. 5000
Value added by the manufacturer = 5000 - 3000 = Rs. 2000
Rate of VAT = 4%
VAT paid by the manufacturer = 4% of Rs. 2000 = $\dfrac{4}{100}\times 2000 = 80$

If the firm stops making repayments and the goods or assets are taken away from them as a result, this is known as:

  1. Cancellation

  2. Forfeiture

  3. Annulment

  4. Repossession


Correct Option: D
Explanation:

If the firm stops making repayments and the goods or assets are taken away from them as a result. This is known as Repossession.

A transportation company charges $x$ for a kg. It also charges a sales tax on the things per kg and a fixed amount for a lot. If the total amount, in dollars paid at the time of transportation is given by the expression $1.07x+17$, then what is the sales tax, expressed as a percentage of the base price?

  1. $0.07\%$

  2. $1.07\%$

  3. $7\%$

  4. $17\%$


Correct Option: C
Explanation:

Given that transporter company charges $x$ for a kg and its also charges sale tax on the things per kg and a fixed amount for lot.

As per given expression $1.07x+17$ total amount in dollars paid at time of transportation. 
In this expression $17$ is the fixed amount for lot and $1.07x$ is the total charges of $1$ kg with sales tax.
Then $x$ is the charges of transportation of $1$ kg and $0.07x $ is sales tax on it. 
Percent sales tax $=$ $0.07\times 100=7%$

Nancy pays $6\%$ sales tax on a car that costs $\$ 22,000$. What is the cost of the car including sales tax?

  1. $\$ 23,320$

  2. $\$ 23,540$

  3. $\$ 24,200$

  4. $\$ 31,200$

  5. $\$ 35,200$


Correct Option: A
Explanation:

Sales tax amount $ = 6 $ $\%$ of $ $ 20,000  = \dfrac {6}{100} \times 22,000 = $ 1,320 $
So, total amount $ = $ 22,000 + $ 1,320 = $ 23,120 $

After sales tax, a book costs $\$ 25.20$. If sales tax is $5\%$, how much does the book cost before taxes?

  1. $\$ 23.50$

  2. $\$ 23.94$

  3. $\$ 24.00$

  4. $\$ 24. 23$

  5. $\$ 26.46$


Correct Option: C
Explanation:

Total cost of the book $ = $ 25.20 $
Which is cost of the book before taxes $ + $ Sales tax $ = $ 25.20 $
Letcost of the book before taxes $ = b $
$\Rightarrow  b + 5$ $\%$ of $ b = 25.20 $
$ \Rightarrow  b + \dfrac {5b}{100} = 25.20 $
$ \Rightarrow  1.05b = 25.20 $
$ \Rightarrow  b = $ 24 $

Mrs. Malhotra purchased solar panels for the taxable value of Rs $85,000$. She sold them for Rs $90,000$. The rate of GST is $5\%$. Find the ITC of Mrs Malhotra.

  1. $4000$

  2. $3500$

  3. $4500$

  4. $4250$


Correct Option: D
Explanation:

$\Rightarrow$  Mrs. Malhotra purchase solar panels for $Rs.85,000.$

$\Rightarrow$  The rate of GST is $5\%$.
$\Rightarrow$  Then, the ITC of Mrs. Malhotra = $5\%\,of\,85,000$ 
 $\Rightarrow$  The ITC of Mrs. Malhotra =$\dfrac{5}{100}\times 85000=Rs.4250.$

Bashir khan purchased 100 shares of MV Rs. $40$. Brokerage paid at the rate of $0.5\%$ and rate of GST on brokerage is $18\%$. Find the total amount he paid for the share purchase.

  1. Rs $4020$

  2. Rs $4233.20$

  3. Rs $4023.60$

  4. Rs $4003$


Correct Option: C
Explanation:

Number of shares purchased $= 100$

Market Value of share $=$ Rs. $40$

$\therefore$ Total cost of $100$ shares $=$ Rs. $4000$

Brokerage rate $= 0.5\%$
$\Rightarrow$ Brokerage Commission paid $= \dfrac{0.5}{100} \times 40000 =$ Rs. $20$

GST on Brokerage $= 18\%$ of $40000$
                                $=$ Rs. 3.6

$\Rightarrow$ Total amount paid for the purchase $= 40000 + 20 + 3.6$
                                                                 $=$ Rs $4023.60$

A dealer has given $10\% $discount on a showpiece of Rs $25,000$. GST of $28\%$ is applied on the discounted price. Find the total amount that is shown in the tax invoice.

  1. $26000$

  2. $22500$

  3. $22400$

  4. $28800$


Correct Option: D
Explanation:

Listed Price $= 25000$

Discount given $= 10\%$

Discounted Price $= 25000 - \dfrac{10}{100}\times 25000 = 22500$

GST applied $= 28\%$
Total amount shown in tax invoice $= 22500 + \dfrac{28}{100}\times 22500$

                                                          $=$ Rs $28800$

A dealer pays following VAT @ of 14% on 20th April Rs. 2500, 20th May Rs. 1200. Find his sales for March and April.

  1. $16428.55$

  2. $26428.55$

  3. $36428.55$

  4. $46428.55$


Correct Option: B
Explanation:

Sales for April:
Total VAT = VAT% of sales
$2500=\cfrac{14}{100}\times sales$
Sales of April $= Rs. 17857.14$
Sales for May:
Total VAT = VAT% of sales
$1200=\cfrac{14}{100}\times sales$
Sales of April $= Rs. 8571.42$
Total sales for March and April $= 17857.14 + 8571.41 = Rs. 26428.55$

Shri. Batliwala sold shares of Rs $30350$ and purchased shares of Rs $69650$ in a day. He paid $0.1\%$ brokerage on both sale and purchase of shares. $18\%$ GST was charged on the brokerage. Find his total expenditure on brokerage and tax.

  1. $120$

  2. $118$

  3. $139.5$

  4. $105$


Correct Option: B
Explanation:
Value of shares sold = $30350$
Brokerage =$0.1%$
$\therefore$ brokerage  value =$\cfrac{0.1}{100}\times30350$
= $303.5/10$=$30.35$
Value of shares purchased =$69650$
Brokerage =$0.1%$
$ \text {brokerage value} =\cfrac{0.1}{100}\times69650$
=$696.5/10$
=$69.65$
$\therefore$ total  brokerage  value =$(30.35+69.65)$
=$Rs 100$
$G. S. T$= $18%$ of brokerage  value 
$\therefore$ amount of gst = $\cfrac{18}{100}\times100$
=$18$
$\therefore$  total amount of brokerage +gst =$100$+$18$
=$118$.
- Hide questions