#### Question

The price of a washing machine, inclusive of sales tax is Rs 13,530/-. If the sales tax is 10%, find its basic cost price.

#### Solution

Selling price of washing machine = Rs 13,530

∴ Cost price = `"Selling price xx 100"/"100 + Rate of sales tax"`

Rate of sales tax = 7%

`∴ Cost price = "Selling price x 100"/"100 + Rate of sales tax"`

`= (13530 xx 100)/(100 + 10)`

`= 1353000/110`

= Rs 12300

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Solution The Price of a Washing Machine, Inclusive of Sales Tax is Rs 13,530/-. If the Sales Tax is 10%, Find Its Basic Cost Price. Concept: Computation of Tax.