A shopkeeper buys an article for Rs.8,000 and sells it for Rs. 10,000. If the rate of tax under VAT is 10%, find : (i) tax paid by the shopkeeper (ii) tax charged by the shopkeeper (iii) VAT paid by the shopkeeper

Open in App

Solution

Cost price of an article = Rs. 8000
And, selling price = Rs. 10,000
(i) Tax paid by Shopkeeper under VAT 10%
= Rs. $\frac{8, 000 \times 10}{100} = R s . 800$
(ii) Tax charged by the shopkeeper
$∵$ Selling price = Rs. 10,000 under VAT 10%
= Rs. $\frac{10, 000 \times 10}{100} = R s . 1000$
(iii) VAT paid by the shopkeeper
= Rs. 1000- Rs. 800 = Rs. 200

Suggest Corrections

Similar questions

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.

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 sells an article at its list price (

R s . 3, 000

) and charges sales-tax at the rate of

12 %

. If the VAT paid by the shopkeeper is Rs.

72

, at what price did the shopkeeper buy the article inclusive of sales-tax ?

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.

Q. A shopkeeper buys an article at a discount of

30 %

and pays sales-tax at the rate of

8 %

. The shopkeeper, in turn, sells the article to a customer at the printed price and charges sales tax at the same rate. If the printed price of the article is Rs.

2, 500

; find:
(i) the price paid by the shopkeeper
(ii) the price paid by the customer
(ii) the VAT (Value Added Tax) paid by the shopkeeper.

Join BYJU'S Learning Program