Question

MP of an article is $1400. Find the SP of that article in cents if the shopkeeper adds 13% VAT after allowing 45% discount. (100 cents =$1)​

Answer 1

87,010 cents is the SP.

Explanation:

MP = $1400

VAT = 13%

Discount = 45%

so,

discount amount = 45% of MP

= 45% of $1400

= 45/100 * $1400

= 9/20 * $1400

= 9* $70

= $630

so,

MP - discount amount

= $1400 - $630

= $770(SP)

so,

VAT amount = 13% of SP

= 13% of $770

= 13/100 * $770

= $100.1

so,

SP + VAT

= $770 + $100.1

= $870.1

so,

$1 = 100 cents

$870.1 = 100*870.1

= 87,010 cents