Question

$\text{The sale of a TV set including VAT is Rs.27000.If the VAT is charged at}8\%\text{of the list price, what is the list price of the TV set ?}$

Answer 1

$\text{Sale Price of TV set including VAT=Rs.27000}\text{Rate of VAT}=8\%\therefore \text{List price of the TV set}=\frac{Saleprice\times 100}{100+VAT\%}=Rs.\frac{27000\times 100}{100+8}=Rs.\frac{27000\times 100}{108}=Rs.25000$