A family went to a restaurant for dinner. The bill of ₹3000 was handed which was not inclusive of the 4% Goods and Service Tax (GST). The final bill amount would be?
₹ 3120
GST is calculated on the selling price. Since the bill amount is the selling price, the GST is added to the bill amount itself.
So, GST = 4% of ₹ 3000
= 4100×3000
= ₹ 120
Final bill amount = ₹3000 + ₹ 120 = ₹ 3120