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Mathematics

A retailer purchases a spectacles for ₹1500 from a wholesaler and sells it to a consumer at 10% profit. If the sales are intra-state and the rate of GST is 12%, then choose the correct answer from the given four options for question 1 to 6:

The selling price of the spectacles including tax (under GST) by the retailer is

  1. ₹1650
  2. ₹1800
  3. ₹1848
  4. ₹1830

GST

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Answer

From Question 1:
Selling price of the spectacles for retailer or cost price of the article for consumer = ₹1650

As the sales are intra-state and the rate of GST is 12%, so GST comprises of 6% as CGST and 6% as SGST. Retailer sells the spectacles to consumer for ₹1650, amount of GST collected by retailer from consumer(or paid by consumer):

CGST = 6% of 1650 = 6100\dfrac{6}{100} x 1650 = ₹99

SGST = 6% of 1650 = 6100\dfrac{6}{100} x 1650 = ₹99

∴ The Output Tax (under GST) for retailer:
Output CGST = 99
Output SGST = 99

∴ The selling price of the spectacles including tax (under GST) by the retailer is

= Cost price of spectacles for consumer + CGST paid by consumer + SGST paid by consumer
= 1650 + 99 + 99 = ₹1848

∴ Option 3 is the correct option.

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