Question

Shikha purchased a car with a marked price of Rs. 210000 at a discount of 5%. If VAT is charged at the rate of 10%, find the amount Shikha had paid for purchasing the car.

Answer 1

Given,

Marked price = Rs 210000

Discount = 5% of Rs 210000 = Rs = 5/100 × 210000 = Rs 10500

The net price of the car is Rs 210000 – Rs 10500 = Rs 199500

VAT = 10%

Rate of VAT = 10% of Rs 199500 = Rs 10/100 × 199500 = Rs 19950

So, SP of the car = Rs (199500+19950) = Rs 219450

∴ Shikha has paid Rs 219450 to purchase the car.