Question

An expensive wrist watch was being sold at ₹58240 in Delhi. The watch had been bought from Jaipur(Rajasthan) at ₹52000. What was the IGST% charged?

(Assume no additional profit is being made in Delhi sale)

• A. 18%
• B. 9%
• C. 12%
• D. 28%

Answer 1

The correct option is C 12%

Let rate of IGST being charged be $x\%$.

Selling Price = ₹58240

Cost Price = ₹52000

Give that no additional profit is made in this sale.

$\Rightarrow$ Selling Price - Cost Price = IGST paid

$\Rightarrow$ IGST paid = ₹58240 - ₹52000 = ₹6240

$\Rightarrow \frac{x}{100}\times 52000$ = ₹6240

$\Rightarrow x=\frac{6240\times 100}{52000}=12$

$\therefore$ Rate of IGST charged is 12%.