Question

Tarun bought an article for Rs 8,000 and spent Rs 1,000 for transportation. He marked the article at Rs 11,700 and sold it to a customer. If the customer had to pay $10\%$ sales tax, find:
(i) The customer's price. (ii) Tarun's profit percent
[4 MARKS]

Answer 1

Each subpart: 2 Marks

Cost price of the article = Rs 8,000
Transportation charges = Rs 1,000
Actual cost price = Rs 8,000 + Rs 1,000 = Rs 9,000
Given, marked price of the article = Rs 11, 700
Sales tax = 10%
(i) Customer's price = Rs 11,700 + 10$\%$ of Rs 11,700
$=Rs11,700+Rs\frac{10}{100}\times 11,700=Rs11,700+Rs1,170=Rs12,870$
(ii) Tarun's profit = Rs 11,700 - Rs 9,000 = Rs 2700
$\therefore$ Profit per cent $=\frac{2700}{9,000}\times 100\%=30\%$