[Rs. 19.70] Gauri went to the stationers and bought things worth Rs. 25, out of which 30 paise went on sales tax

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Gauri went to the stationers and bought things worth Rs. 25, out of which 30 paise went on sales tax on taxable purchases. If the tax rate was 6%, then what was the cost of the tax free items?

Rs. 15

Rs. 15.70

Rs. 19.70

Rs. 20

Explanation:

Let the amount taxable purchases be Rs. $ x $.

Then, 6% of $ x $ =$ \dfrac{30}{100} $

$\Rightarrow x $ =$ \left(\dfrac{30}{100} \times\dfrac{100}{6} \right) $ = 5.

$\therefore$ Cost of tax free items = Rs. [25 - (5 + 0.30)] = Rs. 19.70

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