Question

A watch valued at 2376 after a 20% discount and 10% sales tax. Find its marked price.

A. Rs. 3000
B. Rs. 4000
C. Rs. 4500
D. Rs. 5000

Answer 1

To find the marked price of the watch after a discount and sales tax, we can work backwards from the final price. By setting up an equation based on the given information, we can solve for the marked price.

Step-by-step explanation:

To find the marked price of the watch, we need to work backwards from the final price after the discount and sales tax. Let's assume the marked price is 'x'.

After a 20% discount, the price of the watch becomes 80% of the marked price, which is 0.8x.

Then, a 10% sales tax is applied to this discounted price, which is 1.1 times the discounted price.

So, the final price is 1.1 * 0.8x = 0.88x.

Given that the final price is Rs. 2376, we can set up the equation 0.88x = 2376 and solve for 'x'.

Dividing both sides by 0.88, we get x = 2700. Therefore, the marked price of the watch is Rs. 2700.