Question

Gauri want to the stationers and bought things worth Rs 25 out of which 30 paise went on sale tax on taxable purchases If the tax rate was 6% then what was the cost of the tax free item?

• A. Rs 15
• B. Rs 15.70
• C. Rs 19.70
• D. Rs 20

Answer 1

Answer: (C)

Rs 19.70

Given: Gauri bought $Rs.25$
Sales tax = $30$ paise
Sales tax rate = Rs.$6$ %
Let amount of taxable purchase = $X$
$\frac{6}{100}\times X=\frac{30}{100}$
$X=5$
Tax free amount = $25-5-0.30$
= $19.70$