A shopkeeper buys an article at a discount of 30% and pays sales tax at the rate of 6%. The shopkeeper sells the article to a customer at 6% . The shopkeeprer sells the article to a customer at 10% discount on the list price and charges sales tax at the same rate. If the list price of the article is ₹3000, find : (i) the price inclusive of sales tax paid by the shopkeeper. (ii) the price paid by the consumer . (iii) the VAT paid by the shopkeeper.
2226,2862,36
Shopkeeper got the discount so,listed price was Rs 3000 then
3000-30% of 3000
3000-900 = 2100 without tax
Consumer got 10% discount on list price then
3000-3000×10%
3000-300 = 2700
(ii)Tax paid by him = 2700×6% + 2700
162+2700
= 2862
Profit of shopkeeper =2700-2100
=600 so,
(iii) VAT on profit of shopkeeper
=600×6% =36
(i) the price inclusive of sales tax paid by shopkeeper = VAT + money without tax
= 36+2100 = 2136
To solve this problem, we will follow these steps:
Step 1: Calculate the discount on the article purchased by the shopkeeper.
Step 2: Calculate the amount paid by the shopkeeper for the article after applying the discount.
Step 3: Calculate the sales tax paid by the shopkeeper.
Step 4: Calculate the price inclusive of sales tax paid by the shopkeeper.
Step 5: Calculate the discount on the list price given to the customer.
Step 6: Calculate the price paid by the consumer.
Step 7: Calculate the VAT paid by the shopkeeper.
Let's calculate each step one by one:
Step 1: Calculate the discount on the article purchased by the shopkeeper.
Discount = 30% of List price
Discount = (30/100) * ₹3000
Discount = ₹900
Step 2: Calculate the amount paid by the shopkeeper for the article after applying the discount.
Amount paid by the shopkeeper = List price - Discount
Amount paid by the shopkeeper = ₹3000 - ₹900
Amount paid by the shopkeeper = ₹2100
Step 3: Calculate the sales tax paid by the shopkeeper.
Sales tax = 6% of Amount paid by the shopkeeper
Sales tax = (6/100) * ₹2100
Sales tax = ₹126
Step 4: Calculate the price inclusive of sales tax paid by the shopkeeper.
Price inclusive of sales tax = Amount paid by the shopkeeper + Sales tax
Price inclusive of sales tax = ₹2100 + ₹126
Price inclusive of sales tax = ₹2226
Step 5: Calculate the discount on the list price given to the customer.
Discount = 10% of List price
Discount = (10/100) * ₹3000
Discount = ₹300
Step 6: Calculate the price paid by the consumer.
Price paid by the consumer = List price - Discount
Price paid by the consumer = ₹3000 - ₹300
Price paid by the consumer = ₹2700
Step 7: Calculate the VAT paid by the shopkeeper.
VAT paid by the shopkeeper = Sales tax
VAT paid by the shopkeeper = ₹126
(i) The price inclusive of sales tax paid by the shopkeeper is ₹2226.
(ii) The price paid by the consumer is ₹2700.
(iii) The VAT paid by the shopkeeper is ₹126.
To solve this problem, we need to calculate the different amounts involved step by step. Let's break it down:
(i) The price inclusive of sales tax paid by the shopkeeper:
1. Calculate the discounted price at which the shopkeeper bought the article: 30% discount on ₹3000 = ₹3000 * (1 - 0.30) = ₹2100
2. Calculate the amount of sales tax paid by the shopkeeper: 6% of ₹2100 = ₹2100 * 0.06 = ₹126
3. Add the sales tax to the discounted price to get the final price: ₹2100 + ₹126 = ₹2226.
Therefore, the price inclusive of sales tax paid by the shopkeeper is ₹2226.
(ii) The price paid by the consumer:
1. Calculate the discount provided to the customer: 10% discount on ₹3000 = ₹3000 * (1 - 0.10) = ₹2700
2. Calculate the amount of sales tax charged on the discounted price: 6% of ₹2700 = ₹2700 * 0.06 = ₹162
Therefore, the price paid by the consumer is ₹2700 + ₹162 = ₹2862.
(iii) The VAT paid by the shopkeeper:
Since VAT stands for Value Added Tax and is usually applied only on the value added by the seller, we need to calculate the difference between the price at which the shopkeeper bought the article (₹2100) and the price at which they sold it (₹2700).
Therefore, the VAT paid by the shopkeeper is ₹2700 - ₹2100 = ₹600.