Reena goes to a shop to buy a radio, costing Rs. 2568. The rate of VAT

1.	Reena goes to a shop to buy a radio, costing Rs. 2568. The rate of VAT is 7%. She tells the shopkeeper to reduce the price of the radio such that she has to pay Rs. 2568, inclusive of VAT. Find the reduction needed in the price of radio.
Answer» Given, Cost of radio = Rs.2568 Rate of VAT = 7% Let the reduced price, excluding VAT of the radio = Rs.x = VAT = 7 % of Rs. x = Rs. \(\frac{7x}{100}\) Hence, Selling price of radio = Rs. \(x+\frac{7x}{100}\) = \(\frac{107x}{100}\) Selling price = Rs.2568… Given So, = \(\frac{107x}{100}\) = 2568 = x = \(\frac{2568\times 100}{107}\) = Rs. 2400 Reduction needed in price of radio = Rs.( 2568 – 2400) = Rs.168

Reena goes to a shop to buy a radio, costing Rs. 2568. The rate of VAT is 7%. She tells the shopkeeper to reduce the price of the radio such that she has to pay Rs. 2568, inclusive of VAT. Find the reduction needed in the price of radio.

Answer»

Given,

Cost of radio = Rs.2568

Rate of VAT = 7%

Let the reduced price, excluding VAT of the radio = Rs.x

= VAT = 7 % of Rs. x = Rs. \(\frac{7x}{100}\)

Hence,

Selling price of radio = Rs. \(x+\frac{7x}{100}\) = \(\frac{107x}{100}\)

Selling price = Rs.2568… Given

So,

= \(\frac{107x}{100}\) = 2568

= x = \(\frac{2568\times 100}{107}\) = Rs. 2400

Reduction needed in price of radio = Rs.( 2568 – 2400) = Rs.168