$A$ purchases an article for $R s . 3, 600$ and sells it to $B$ for $R s . 4, 800$ . $B$ , in turn, sells the article to $C$ for $R s . 5, 500$ . If the sales-tax (under $V A T$ ) is $10 %$ , find the $V A T$ levied on $A$ and $B$ .

R s . 140, R s .50

No worries! We‘ve got your back. Try BYJU‘S free classes today!

R s . 130, R s .60

No worries! We‘ve got your back. Try BYJU‘S free classes today!

R s . 120, R s .70

Right on! Give the BNAT exam to get a 100% scholarship for BYJUS courses

None of these

No worries! We‘ve got your back. Try BYJU‘S free classes today!

Open in App

Solution

The correct option is C $R s . 120, R s .70$
$V A T = O u t p u t t a x - I n p u t t a x$
$V A T$ levied by $A$
Output Tax $= 10 % o f R s .4800 = \frac{10}{100} \times R s .4800 = R s .480$

Input tax $= 10 % o f R s .3600 = \frac{10}{100} \times R s . 3600 = R s .360$

VAT $= R s . (480 - 360) = R s .120$

$V A T$ levied by $B$
Output tax $= 10 % o f R s .5500 = \frac{10}{100} \times R s .5500 = R s .550$

Input tax $= 10 % o f R s .4800 = \frac{10}{100} \times R s .4800 = R s .480$

VAT $= R s . (550 - 480) = R s .70$

Suggest Corrections

Similar questions

A purchases an article for Rs. 7,200 and sells it to B for Rs. 9,600. B, in turn, sells the article to C for Rs. 11,000. If the tax (under VAT) is 10%, find the VAT paid by A and B.

A purchases an article for Rs. 3,100 and sells it to B for Rs. 4250. B in turn sells it to C for Rs. 5000. If VAT is 10%, find the VAT levied on A and B.

Q. A shopkeeper purchases an article for Rs. 6,200 and sells it to a customer for Rs. 8,500. If the sales-tax (under VAT) is 8%; find the VAT paid by the shopkeeper.

Q. A shopkeeper purchases an article for Rs 6200 and sells it to customer for Rs 8500. If sales tax is 8% , find the VAT paid by shopkeeper.

A shopkeeper purchases an article for Rs. 12,400 and sells it to a customer for Rs. 17,000. If the tax under VAT is 8%, find the VAT paid by the shopkeeper.

Join BYJU'S Learning Program

A purchases an article for Rs.3,600 and sells it to B for Rs.4,800. B, in turn, sells the article to C for Rs.5,500. If the sales-tax (under VAT) is 10%, find the VAT levied on A and B.

$A$ purchases an article for $R s . 3, 600$ and sells it to $B$ for $R s . 4, 800$ . $B$ , in turn, sells the article to $C$ for $R s . 5, 500$ . If the sales-tax (under $V A T$ ) is $10 %$ , find the $V A T$ levied on $A$ and $B$ .