Mathematics
Reena buys a certain goods for ₹ 4000 and sells them to Ashok at a profit of ₹ 500. If Ashok does not sell the goods further and rate of GST = 5%, the output GST for Ashok is :
₹ 225
₹ 175
₹ 25
₹ 00
GST
33 Likes
Answer
Cost price for Reena = ₹ 4000
Input G.S.T. for Reena = C.P. for Reena
= = ₹ 200.
Profit made by Reena on selling = ₹ 500
Cost price for Ashok = S.P. for Reena = ₹ 4000 + ₹ 500 = ₹ 4500.
Output G.S.T. means GST charged on the sales made by a dealer.
Output G.S.T. for Reena = S.P. for Reena
= = ₹ 225.
This ₹225 is output GST for Reena and input GST for Ashok.
The question says that Ashok does not sell the goods further
Since Ashok makes no sale, he does not charge any GST to anyone.
So, his output GST = ₹0.
Hence, Option 4 is the correct option.
Answered By
9 Likes
Related Questions
The cost of certain services is ₹ 10,000, excluding GST = ₹ 1800. The rate of GST is :
12%
5%
18%
28%
Manu purchases some goods for ₹ 2000 and sells them for ₹ 2500. If the rate of GST is 18%, the tax liability on Manu is :
₹ 360
₹ 450
₹ 90
₹ 900
The marked price of an article is ₹ 1,000, which is available at a discount of 20% with GST rate 12%.
Assertion (A): The GST on the sale = 12% of discounted value.
Reason (R): The GST on the transaction = (100 - 20 + 12)% of marked price.
A is true, R is false.
A is false, R is true.
Both A and R are true and R is the correct reason for A.
Both A and R are true and R is the incorrect reason for A.
For a trader X, GST paid is ₹ 600 and GST collected is ₹ 720.
Assertion (A): GST paid by the trader to the Government is ₹ 120.
Reason (R): GST deposited with the Government
= Output Tax - Input tax
= GST collected - GST paidA is true, R is false.
A is false, R is true.
Both A and R are true and R is the correct reason for A.
Both A and R are true and R is incorrect reason for A.