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Question

A shopkeeper purchases an audio system for Rs.3,000 and sells it off at a again of 15%. He also charges a sales of tax of 10% on the selling price. Calculate the amount that the buyer will pay to the shopkeeper.

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Solution

CP of audio system =Rs.3,000

Profit =15%

Therefore, SP of audio system =100+15%100×CP

=115%100×3000

=Rs.3450

Final SP including tax =3450+3450×10%

=3450+345

=Rs.3795


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