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Q.

The amount of a perfume bottle was Rs.324. If 8% VAT is included in the price, then the original price of the perfume bottle will be Rs. ____.

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Detailed Solution

The amount of a perfume bottle was Rs.324. If 8% VAT is included in the price, then the original price of the perfume bottle will be Rs.300.
From the given data, we have,
The amount of a perfume bottle = Rs.324.
VAT = 8%.
Let the sales amount of the perfume bottle is

x .

Since, Sales tax = Tax % of sale amount

⇒ Sales tax = 8 % of x ⇒ Sales tax = 8 x 100 ⇒ Sales tax = 2 x 25

Calculating the original price of the perfume bottle.
The amount of a perfume bottle = Rs.324.
We know that,
Total Amount = Sales tax + Sales amount

⇒ 324 = 225 x + x

⇒ 324 = 2 x + 25 x 25 ⇒ 27 x 25 = 324

⇒ x = 324 × 25 27

⇒ x = 12 × 25

⇒ x = 300

That means the sales amount is Rs.300.
That means the original price of the perfume bottle will be Rs.300.

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