Gauri went to the stationers and spent Rs. 25 on items, with 30 paise going to sales tax on taxable purchases. What would the cost of the tax-free items be if the tax rate was 6%?
A. Rs. 15
B. Rs. 15.70
C. Rs. 19.70
D. Rs. 20
Answer:C
Gauri went to the stationers and spent Rs. 25 on items, with 30 paise going to sales tax on taxable purchases. What would the cost of the tax-free items be if the tax rate was 6%?
A. Rs. 15 B. Rs. 15.70 C. Rs. 19.70 D. Rs. 20
Explanation: Let's say the taxable purchase amount is Rs. x.Then, 6% of x = 30/100 is used.30/100 x 100/6 = 5. x = 30/100 x 100/6 = 5.[25 - (5 + 0.30)] is the cost of tax-free items. = 19.70 rupees.