Question

Devangi’s phone subscription charges for the period 17-02-09 to 16-03-09 were as follows:

Period	Amount (in Rs)	Service Tax %
17-02-09 to 23-02-09	199.75	12
24-02-09 to 16-03-09	599.25	10

Find the final bill amount if 3% education cess was also charged on service tax.

Answer 1

On the basis of above given table,

Amount for period 17-02-09 to 23-02-09 = Rs 199.75

∴ Amount with service tax 12% = `199.75 + 12/100 xx 199.75`

= 199.75 + 23.97

= Rs 223.72

Amount for period 24-02-09 to 16-03-09 = Rs 599.25

Amount with service tax @10% = `599.25 + 599.25 xx 10/100`

= 599.25 + 59.925

= Rs 659.175

∴ Total bill amount = Rs 223.72 + Rs 659.175 = Rs 882.895

Total bill amount including education cess of 3%

= 882.895 + 3% of 882.895

= `882.895 + 3/100 xx 882.895`

= 882.895 + 26.486

= Rs 909.39