A Shopkeeper allows a discount of 20% on the marked price but charges 5% sales tax on the marked price and 5% service tax on the discounted price. If the customer pays Rs. 2670 as price including tax, then what is marked price of the item?
A)2700 B)3245 C)3000 D)2670

• x be the marked price
  x – 20% of x + 5% of sales tax + 5% of (x – 20% of x) = 2670
  x=3000
• 3 years agoHelpfull: Yes(1) No(0)
• 20% discount = x/5
  price after discount = x - x/5 = 4x/5
  
  sales tax = 5/100
  
  service tax = 5/100*(4x/5) = x/25
  
  4x/5 + 5x/100 + x/25 = 2670
  89x = 267000
  x= 3000
• 3 years agoHelpfull: Yes(0) No(0)