Mathematics Questions and Answers – Sales Tax/Value Added Tax

«
»

This set of Mathematics Multiple Choice Questions & Answers (MCQs) focuses on “Sales Tax/Value Added Tax”.

1. What will be the buying price of a soap at Rs. 100 when 5% sales tax is added?
a) Rs 105
b) Rs 110
c) Rs 112
d) Rs 134
View Answer

Answer: a
Explanation: Cost price of soap = Rs. 100
Sales tax = 5%
= 5% of 100
= \(\frac{5}{100}\) × 100
= Rs. 5
Buying price = Cost price + sales tax = 100 + 5 = Rs.105
advertisement

2. If 5% VAT is included in the price of a shampoo bottles bought for Rs. 550 then what is the original price of the shampoo?
a) Rs 420
b) Rs 520
c) Rs 650
d) Rs 700
View Answer

Answer: b
Explanation: Let the original price of the shampoo be Rs. x
Sales tax = 5%
= 5% of x
= \(\frac{5}{100}\) × x
= Rs. \(\frac{5x}{100}\)
Buying price = Cost price + Sales tax
550 = x + \(\frac{5x}{100}\)
550 = \(\frac{105x}{100}\)
x = \(\frac{550×100}{105}\) = 523.80 ∼ 520
The original price of the shampoo is Rs. 520.

3. What will be the buying price of 12 kg of sugar at Rs. 20/kg when a 9% sales tax is added?
a) Rs 378.9
b) Rs 350.5
c) Rs 348.8
d) Rs 398.0
View Answer

Answer: c
Explanation: Cost of one kg sugar = Rs. 20
Cost of 12 kg sugar = 20 × 12 = 320
The cost price of sugar = Rs. 320
Sales tax = 9%
= 9% of 320
= \(\frac{9}{100}\) × 320
= 28.8
Buying price = Cost price + Sales tax = 320 + 28.8 = 348.8.
advertisement
advertisement

4. If you buy a hair dryer for Rs. 10000 including 10% VAT what will be the price of the hair dryer before VAT was added?
a) Rs 9393
b) Rs 9292
c) Rs 9191
d) Rs 9090
View Answer

Answer: d
Explanation: Let the original price of the hair dryer be Rs. x
VAT added = 10%
= 10% of x
= \(\frac{10}{100}\) × x
= \(\frac{x}{10}\)
Buying price = cost price + sales tax
10000 = x + \(\frac{x}{10}\)
10000 = \(\frac{11x}{10}\)
x = \(\frac{10000×10}{11}\) = 9090.90 ∼ 9090

5. What will be amount Shridhar has to pay for a watch costing Rs. 18000 when 8% sales tax is added?
a) Rs 19440
b) Rs 18850
c) Rs 17560
d) Rs 16540
View Answer

Answer: a
Explanation: Cost price of watch = Rs. 18000
Sales tax = 8%
= 8% of 18000
= \(\frac{8}{100}\) × 18000
= Rs. 1440
Buying price = Cost price + sales tax = 18000 + 1440 = Rs. 19440
advertisement

6. The cost of a hover board was 15000 at the shop. What will be the bill amount after a sales tax of 10% is added?
a) Rs 16160
b) Rs 15150
c) Rs 14540
d) Rs 17170
View Answer

Answer: b
Explanation: Cost price of hover board = Rs. 15000
Sales tax = 10%
= 10% of 15000
= \(\frac{10}{100}\) × 15000
= Rs. 1500
Buying price = Cost price + sales tax = 15000 + 1500 = Rs. 15150

7. The bill amount of a cutlery set is Rs. 5000 including 9% sales tax. What is its original price?
a) Rs 4800
b) Rs 4700
c) Rs 5000
d) Rs 4500
View Answer

Answer: d
Explanation: Let the original price of the cutlery be Rs. x
VAT added = 9%
= 9% of x
= \(\frac{9}{100}\) × x
= \(\frac{9x}{100}\)
Buying price = cost price + sales tax
5000 = x + \(\frac{9x}{100}\)
5000 = \(\frac{109x}{100}\)
x = \(\frac{5000×100}{109}\) = 4587.15 ∼ 4500
advertisement

8. The cost of 1 kg of flour is Rs. 30 and 1 kg of sugar Rs. 35. What will be the bill amount if 10 kg of sugar and 15 kg of flour is bought with 5% of sales tax added?
a) Rs 866.25
b) Rs 890.98
c) Rs 865.56
d) Rs 834.56
View Answer

Answer: a
Explanation: Cost of 1 kg flour = Rs. 30
Cost of 10 kg sugar = 30 × 10 = 300
Cost of 1 kg sugar = Rs. 35
Cost of 15 kg sugar = 35 × 15 = 525
Total cost price = 525 + 300 = 825
Sales tax = 5%
= 5% of 825
= \(\frac{5}{100}\) × 825 = 41.25
Buying price = cost price + sales price = 825 + 41.25 = Rs. 866.25

9. What will be the bill amount of two sets of TV at Rs. 50000 each with a 7% of sales tax included?
a) Rs. 117000
b) Rs. 107000
c) Rs. 128000
d) Rs. 135000
View Answer

Answer: c
Explanation: Cost of 1 TV set = Rs. 50000
Cost of 2 TV sets = 50000 × 2 = 100000
Sales tax = 7%
= 7% of 100000
= \(\frac{7}{100}\) × 100000 = 7000
Buying price = cost price + sales price = 100000 + 7000 = Rs. 107000

10. If 6% VAT is added in the price of a lawn mower at Rs. 15000 then what is the original price of the lawn mower?
a) Rs 19000
b) Rs 16000
c) Rs 15000
d) Rs 14000
View Answer

Answer: d
Explanation: Let the original price of lawn mower be Rs x.
Sales tax = 6%
= 6% of x
= \(\frac{6x}{100}\)
Buying price = cost price + sales price
15000 = x + \(\frac{6x}{100}\)
15000 = \(\frac{106x}{100}\)
x = \(\frac{15000 × 100}{106}\) = 14150.94 ∼ 14000
advertisement

Sanfoundry Global Education & Learning Series – Mathematics – Class 8.

To practice all areas of Mathematics, here is complete set of 1000+ Multiple Choice Questions and Answers.

Participate in the Sanfoundry Certification contest to get free Certificate of Merit. Join our social networks below and stay updated with latest contests, videos, internships and jobs!

advertisement
advertisement
Manish Bhojasia - Founder & CTO at Sanfoundry
Manish Bhojasia, a technology veteran with 20+ years @ Cisco & Wipro, is Founder and CTO at Sanfoundry. He is Linux Kernel Developer & SAN Architect and is passionate about competency developments in these areas. He lives in Bangalore and delivers focused training sessions to IT professionals in Linux Kernel, Linux Debugging, Linux Device Drivers, Linux Networking, Linux Storage, Advanced C Programming, SAN Storage Technologies, SCSI Internals & Storage Protocols such as iSCSI & Fiber Channel. Stay connected with him @ LinkedIn | Youtube | Instagram | Facebook | Twitter