Tag: gst (goods and service tax)

Questions Related to gst (goods and service tax)

The cost of a pair of shirts at a shop was Rs. $450$. The sales tax charged was $5\%$. Find the bill amount.

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $172.50$

  2. $272.50$

  3. $372.50$

  4. $472.50$

Show answer
Correct Option: D
Explanation:

Given:
Selling price $=$ Rs. $450$
We know that Sales tax $= 5\%$ of $450$
$=$ $\dfrac{5\times 450}{100}$
$=$ Rs. $22.50$
Therefore, bill amount $=$ selling price $+$ sales tax
$= 450 + 22.50$
$=$ Rs. $472.50$
The bill amount is Rs.$ 472.50$.

In Chennai, Caleb plans to purchase a particular service for Rs. $1300$, plus VAT at $14.5\%$. What is the total cost including VAT?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $1388.5$

  2. $188.5$

  3. $1488.5$

  4. $1300$

Show answer
Correct Option: C
Explanation:

Total cost with VAT $=$ cost without VAT $+ 14.5\%$ of cost without VAT
$= 1300 + \dfrac{14.5}{100}\times 1300$
$= 1300 + 188.5$
$= 1488.5$
Therefore, total cost including VAT is Rs. $1488.5$.

An item costs Rs. $2400$. The sales tax is $16\%$. What is the cost of the item after taxes?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $2784$

  2. $2400$

  3. $2016$

  4. $2500$

Show answer
Correct Option: A
Explanation:

Sales tax $= 16\%$ of Rs. $2400$
$=$ $\dfrac{16}{100}\times 2400$
$= 384$
Total sales tax $= 2400 + 384$
$=$ Rs. $2784$

Therefore, cost of item after taxes is Rs. $2784$.

In Chennai, sales tax is $10.20\%$. What is the tax on items that total Rs. $1450$ before tax?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $1000$

  2. $1450$

  3. $1597.90$

  4. $1302.10$

Show answer
Correct Option: D
Explanation:

According to question, we have

Sales tax $= 10.20\%$ of Rs. $1450$
$=$ $\dfrac{10.20}{100}\times 1450$
$= 147.90$
Before tax cost of the item $= 1450 - 147.40$
$=$ Rs. $1302.10$

According to the following data, calculate the cost that an average household pays for gasoline.

  • The gasoline tax rate is $18.4$ cents per gallon. 
  • The average motor vehicle is driven approximately $11,340$ miles per year. 
  • The national average fuel economy for non-commercial vehicles is $21.4$ miles per gallon. 
  • The average American household owns $1.75$ vehicles.

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $55.73

  2. $68.91

  3. $97.52

  4. $170.63

Show answer
Correct Option: D
Explanation:

$11340$ miles per year is the average motor vehicle driven.

The average fuel economy is $21.4$ miles per gallon, so gallons used per vehicle per year turn out to be $\dfrac{11340}{21.4} = 529.90$
The average American household owns $1.75$ vehicles and so the gallons used per household per year become $529.90 \times 1.75 = 927.325$
Since the gasoline tax is $18.4$ cents per gallon, the total tax paid becomes $927.325 \times 18.4 = 17062.78$ cents $= $ 170.63$

Ann stays in a hotel for Rs. $100$ per night. She stays for three nights and pays a sales tax of $12\%$. How much did she pay?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $12$

  2. $24$

  3. $36$

  4. $48$

Show answer
Correct Option: C
Explanation:
Per night charge of hotel is Rs. $100$.
Three nights stay would be then $= 3 \times  100 = 300$
Sales tax $= 12\%$ on Rs. $300$
$=$ $\dfrac{12}{100}\times 300$
$= 36$
Therefore, tax paid by Ann is Rs. $36$.

A manufacturer buys a raw materials for Rs. 3000 and pays 4% tax. He sells the ready stock for Rs. 5000 and charges 4% tax. Find the VAT paid by the manufacturer.

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. 20

  2. 40

  3. 80

  4. 60

Show answer
Correct Option: C
Explanation:

Cost price of the raw material = Rs. 3000
Selling price of the raw material = Rs. 5000
Value added by the manufacturer = 5000 - 3000 = Rs. 2000
Rate of VAT = 4%
VAT paid by the manufacturer = 4% of Rs. 2000 = $\dfrac{4}{100}\times 2000 = 80$

If the firm stops making repayments and the goods or assets are taken away from them as a result, this is known as:

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. Cancellation

  2. Forfeiture

  3. Annulment

  4. Repossession

Show answer
Correct Option: D
Explanation:

If the firm stops making repayments and the goods or assets are taken away from them as a result. This is known as Repossession.

A transportation company charges $x$ for a kg. It also charges a sales tax on the things per kg and a fixed amount for a lot. If the total amount, in dollars paid at the time of transportation is given by the expression $1.07x+17$, then what is the sales tax, expressed as a percentage of the base price?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $0.07\%$

  2. $1.07\%$

  3. $7\%$

  4. $17\%$

Show answer
Correct Option: C
Explanation:

Given that transporter company charges $x$ for a kg and its also charges sale tax on the things per kg and a fixed amount for lot.

As per given expression $1.07x+17$ total amount in dollars paid at time of transportation. 
In this expression $17$ is the fixed amount for lot and $1.07x$ is the total charges of $1$ kg with sales tax.
Then $x$ is the charges of transportation of $1$ kg and $0.07x $ is sales tax on it. 
Percent sales tax $=$ $0.07\times 100=7%$

Nancy pays $6\%$ sales tax on a car that costs $\$ 22,000$. What is the cost of the car including sales tax?

maths gst (goods and service tax) more about gst commission, brokerage and vat taxation, calculation of income tax

  1. $\$ 23,320$

  2. $\$ 23,540$

  3. $\$ 24,200$

  4. $\$ 31,200$

  5. $\$ 35,200$

Show answer
Correct Option: A
Explanation:

Sales tax amount $ = 6 $ $\%$ of $ $ 20,000  = \dfrac {6}{100} \times 22,000 = $ 1,320 $
So, total amount $ = $ 22,000 + $ 1,320 = $ 23,120 $