Question

Due to a seasonal change the dealer increased the marked price of his goods by 20%. Sales tax of 5% was charged on the new price. The selling price of the goods was now Rs 6,048. Find the original marked price.

Answer 1

Let x be the original marked price. 

New marked price= x+20 % of x = Rs x + `20/100 xx x = "Rs"  (12 x)/10`

Sales tax = 5 % of the new price. 

`= 5/100 xx "Rs"  (12 x)/10`

`= "Rs"  (60 x)/1000 = "Rs"  (6 x)/100` 

Therefore, total cost of goods = new marked price + sales tax 

`= "Rs"  (12 x)/10 + (6 x)/100`

`= "Rs"  (126 x)/100`

But, total price =Rs 6,048 

⇒ `(126  x)/100 = "Rs"  6048`

⇒ x = Rs  `(6048 xx 100)/126`

⇒ x = Rs 4800

Hence, the original marked price of the gadget= Rs 4,800