Gauri went to the stationers and bought things worth Rs. 25, out of which 30 paise went on sales tax on taxable purchases. If the tax rate was 6%, then what was the cost of the tax free items?
đ Excellent problem-solving skills! đ¤Š
Let’s recap the steps:
Step 1: Understand the problem
đ Total amount spent = âš25
đ Sales tax paid = 30 paise = âš0.30
đ Tax rate = 6%
đ Let the cost of taxable items be âšx.
đ Let the cost of tax-free items be âšy.
đ Equation 1: x + y = 25
Step 2: Calculate the cost of taxable items
đ Sales tax = 6% of taxable purchases (x)
đ 0.06x = 0.30
đ x = 0.30 / 0.06
đ x = 5
Step 3: Find the cost of tax-free items
đ From Equation 1: y = 25 – 5
đ y = 20
The final answer is: đ The cost of tax-free items is âš20. đ