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Cost of the Computer to the Retailer Inclusive of Tax is

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Question

A wholesaler buys a computer from a manufacturer for ₹ 40000. He marks the price of the computer 20% above his cost price and sells it to a retailer at a discount of 10% on the marked price. The retailer sells the computer to a consumer at the marked price. If the rate of sales tax (under VAT) is 10% at every stage, then choose the correct answer from the given four options

Cost of the computer to the retailer inclusive of tax is

Options

  • ₹47520

  • 43200

  • 44000

  • none of these

MCQ
Sum
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Solution

Rate of sales tax (VAT) = 10%
Sales tax charged

= ₹43200 x `(10)/(100)`
= ₹4320
The cost price of T.V. including S.T.
= ₹43200 + ₹4320
= ₹47520.

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