Deepa purchased 15 shirts at the rate of Rs. 1,200 each and sold them at a profit of 5%. If the customer has to pay sales tax at the rate of 4%, how much will one shirt cost to the customer?
Cost of each shirt = 1,200
No. of shirts = 15
Cost price of shirts = 15 × 1,200 = 18,000
Profit = 5%
=
× 18,000
= 900
Total cost price = 18,000 + 900 = 18,900
Sales Tax = 4%
Amount of sales tax = (Rate of sales tax) (cost price)
=
× 18,900
= 756
Total cost that customer has to pay = cost price + sales tax amount
= 18,900 + 756
= 19,656
Cost of 15 shirt that customer pay = 19,656
Cost of 1 shirt that customer has to pay =
= 1,310.40
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