Question

A man pays $8$ paise tax on Re.$1$. If the total tax paid by him is Rs.$1000$, then on how much amount did he pay the tax?

• A. Rs.$12500$
• B. Rs.$12400$
• C. Rs.$1200$
• D. Rs.$12300$

Answer 1

The correct option is A Rs.$12500$

Let the money on which tax was paid, be Rs.$x$
$\therefore$ Tax$=x\times 0.08$
$\therefore$ $.08x=1000$
or $x=\frac{1000}{.08}=$ Rs.$12500$