Question

An electronic showroom increased the marked price of a new gadget by 12% and charged 12% sales tax on the new price. If the selling price of the gadget is now Rs 21,952, find the marked price of the gadget before increase.

Answer 1

Let x be the marked price. 

New pnce = x+12 % of x = Rs x + `12/100 xx x = "Rs"  (112  x)/100`

Sales tax = 12 % of the new price. 

`= 12/100 xx "Rs"  (112  x)/100` 

`= "Rs"   (1344 x)/10000`

Therefore, total cost of gadget = new price + sales tax 

= Rs `(112  x)/100 + (1344  x)/10000`

= Rs `(12544  x)/10000`

But, total price = Rs 21, 952 

⇒ `(12544  x)/10000` = Rs 21952

⇒ x = Rs  `(21952 xx 10000)/12544`

⇒ x = Rs 17500

Hence, the marked price of the gadget= Rs 17,500