Question

A shopkeeper bought an article for Rs. 3,450. He marks the price of the article 16% above the cost price. The rate of sales tax charged in the article is 10%

Find the:

1) market price of the article.

2) price paid by a customer who buys the article

Answer 1

Cost price of an article = Rs. 3,450

1) Marked price of the article = Cost price + 16% of the Cost price

`= 3450 + 16/100 xx 3450`

= 3450 + 552

= Rs 4002

2) Price pad by the customer  = Marked price +  Sales Tax

`= 4002 + 10/100 xx 4002`

= 4002 + 400.2

= Rs 4402.20