Question

When Patel bought some farm implements priced at Rs 6,500 through an agent for Rs 6,630, what was the commission he paid to the agent? What was its rate percent?

Answer 1

Original worth of the farm implements = Rs 6,500
Amount paid by Patel including commission = Rs 6,630
Commission = Amount paid by Patel including commission − Original worth of the farm implements = Rs 6,630 − Rs 6,500 = Rs 130
Commission is calculated on original worth; so, rate percent can be calculated on it.
Rate percent = $\frac{130}{6500}$ ×100 = 2%
∴ Commission paid by Patel to agent = Rs 130
Rate percent = 2 %