Question

The price of an article is Rs. 8,250 which includes Sales Tax at 10%. Find how much more or less does a customer pay for the article, if the Sales Tax on the article:
(i) increases to 15%
(ii) decreases to 6%
(iii) increases by 2%
(iv) decreases by 3%

Answer 1

Let the M$.P=x$

$\therefore x+10\%$ of $x=8250$

$\Rightarrow x+\frac{10x}{100}=8250$

$\Rightarrow \frac{110x}{100}=8250$

$\Rightarrow x=\frac{8250\times 100}{110}=Rs.7500$

(i) If the sales tax increases to 15% then

Sales Price$=7500+15\%$ of $7500$

$\Rightarrow 7500+\frac{15}{100}\times 7500$

$\Rightarrow 7500+1125=Rs.8600$

$\therefore$ Customer pay $8600-8250=Rs.350$ More.

(ii) If sales tax decrease to 6 % then

Sales Price$=7500+6\%$ of $7500$

$\Rightarrow 7500+\frac{6}{100}\times 7500$

$\Rightarrow 7500+450=Rs.7950$

$\therefore$ Customer pay $8250-7950=Rs.300$ Less.

(iii)If sales tax increase by 2% then

Sales Price$=7500+8\%$ of $7500$

$\Rightarrow 7500+\frac{2}{100}\times 7500$

$\Rightarrow 7500+600=Rs.8100$

$\therefore$ Customer pay $8250-8100=Rs.150$ Less

(iv)If sales tax decreases by 3%

Sales Price$=7500+3\%$ of $7500$

$\Rightarrow 7500+\frac{6}{100}\times 7500$

$\Rightarrow 7500+450=Rs.7950$

$\therefore$ Customer pay $8250-7950=Rs.300$