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Question

A family went to a restaurant for dinner. The bill amounting Rs 3000 was handed which was not inclusive of the 4% service charge. The new bill would be:


A

Rs 3120

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B

Rs 3300

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C

Rs 3395

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D

Rs 3595

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Solution

The correct option is A

Rs 3120


Service Charge is calculated on the selling price. Since the billing amount is the selling price, the service charge is added to the billing amount itself.

So, Service Charge =4100×3000=120=Rs.120.

Final Bill = Rs. 3000 + 120 = Rs.3120


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