Question

Som purchased a cycle for Rs $1,664$ including sales lax. The list price of the cycle is Rs $1,600$, then the rate of sales tax is

• A. $4$%
• B. $5$%
• C. $6$%
• D. $7$%

Answer 1

The correct option is A $4$%

Given, List price of cycle $=$ Rs.$1,600$
Som purchased a cycle $=$ Rs. $1,664$
Sales tax is on the the list price.
Hence, rate of sales tax $=$ $\frac{(1664-1600)}{1600}\times 100$ $=$ $4$ $\%$