I purchased a hair-dryer for Rs 5,400 including 8% VAT. Find the price before VAT was added.

let the price before adding the VAT is Rs. x.

% VAT = 8%

price of the hair dyer including VAT = Rs. 5400

therefore

x = 5000

thus the price of the hair dyer without VAT is Rs. 5000.

hope this helps you.

cheers!!

  • 2

 VAT = 8%

Price before VAT = 100/100+VAT * Cost including VAT

= 100/108 * 54,000 = Rs. 50,000

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