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Mathematics

A shopkeeper bought a machine from a distributor at a discount of 25% of the listed price of ₹32000. The shopkeeper sells the machine to a consumer at listed price. If the sales are intra-state and the rate of GST is 18%, then choose the correct answer from the given four options for questions 7 to 11:

The tax (under GST) paid by the distributor to the State Government is

  1. ₹4320
  2. ₹2160
  3. ₹2880
  4. ₹720

GST

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Answer

From Question 7:

As the sales are intra-state and the rate of GST is 18%, so GST comprises of 9% as CGST and 9% as SGST. Distributor sells the machine to shopkeeper for ₹24000, amount of SGST collected by distributor from shopkeeper (or paid by shopkeeper):

SGST = 9% of 24000 = 9100\dfrac{9}{100} x 24000 = ₹2160

∴ Option 2 is the correct option.

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