Rahul bought a TV for Rs 89,600 including a tax of 12%. Find the

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95.

Rahul bought a TV for Rs 89,600 including a tax of 12%. Find the cost of the TV before VAT was added.


Let the cost of TV before VAT (or the original cost) = Rs 100

∴                  VAT = 12% of the original cost

                          = 12 over 100 cross times Rs space 100 space equals space Rs space 12

∴    Cost of TV including VAT = Rs 100 + Rs 12 = Rs 112

  In price including VAT is 100, then original cost = Rs 100

If price including VAT is Rs 89,600, then original cost = space space space 100 over 12 cross times89,600 = Rs 80,000

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