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Quantitative Aptitude (MTS)

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Indian Economy - Understanding the basics of Indian economic system

A sofa costs Rs24,000 before tax. What is the percentage of sales tax charged, if the sales tax on it is Rs1,200?

This questions was previously asked in

SSC MTS 5th July 2022 Shift-2

- The sofa's initial price is Rs24,000, and the sales tax on it is Rs1,200.

- To find the percentage of sales tax, we use the formula: (Sales Tax / Price Before Tax) x 100.

- In this case, (1,200 / 24,000) x 100 equals 5%.

- Option 1, 5%, matches this calculation precisely.

- Other options:

- Option 2, 6%, suggests a higher tax that would result in Rs1,440 as sales tax.

- Option 3, 8%, implies a larger sales tax of Rs1,920.

- Option 4, 4%, means a lower tax causing Rs960 as sales tax.

- The calculations confirm that the correct option is 1 - 5%.