A dealer in Bihar supplied goods to a dealer in Mumbai. The dealer in Mumbai buys :
(i) 40 articles for 800 each at 30% discount
(ii) 75 articles for 1,000 each at 20% discount.
If the rate of GST, on the whole, is 12%, find how much will the dealer at Mumbai pay to a dealer in Bihar.
Solution
The dealer in Mumbai buys :
(i) 40 articles for 800 each at 30% discount
Cost after Discount =`(800 - 800xx30/100)` = `(800 - 240)` = 560
Cost for 40 articles = 40 × 560 = 22400
(ii) 75 articles for 1,000 each at 20% discount.
Cost after Discount = `(1000 - 20/100xx1000)` = `(1000 - 200)` = 800
Cost for 75 articles = 75 × 800 = 60000
Total Cost = 22400 + 60000 = 82400
Rate of GST = 12 %
GST = `(12/100)xx824000` = 9888
dealer at Mumbai pay to dealer in Bihar = 82400 + 9888 = Rs 92288
