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Question
Rajat purchases a wrist-watch costing Rs 540. The rate of sales tax is 8%. Find the total amount paid by Rajat for the watch.
Solution
The sale price of watch = Rs 540
Rate of sales tax = 8%
Total amount paid by Rajat = Rs 540 + 8% of Rs 540
`="Rs." 540 + 8/100 xx 540`
= Rs 540 + Rs 43.20
= Rs 583.20
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