Profit & Loss, Discount & Tax

Q1: In an intrastate transaction, goods worth ₹16000 are bought. If the rate of GST is 5%. Find the amount of the bill.

Step 1: Given,
Cost Price (C.P.) = ₹16000
GST rate = 5%
Step 2: Calculate GST amount: \[ \text{GST} = \frac{5}{100} × 16000 = ₹800 \]Step 3: Calculate total bill amount: \[ \text{Total Bill} = \text{Cost Price} + \text{GST} = 16000 + 800 = ₹16800 \]Answer: The amount of the bill is ₹16800.

Q2: A customer buys a suitcase from a dealer at a discount of 8% on the marked price of ₹5000. If the rate of GST is 12%, calculate:

i. the tax (GST) that the customer has to pay for the purchase.

Step 1: Given,
Marked Price (M.P.) = ₹5000
Discount = 8%
GST rate = 12%
Step 2: Calculate price after discount: \[ \text{Price after discount} = 5000 – \frac{8}{100} × 5000 = 5000 – 400 = ₹4600 \]Step 3: Calculate GST on discounted price: \[ \text{GST} = \frac{12}{100} × 4600 = ₹552 \]Answer: The tax (GST) the customer has to pay is ₹552.

ii. the total amount that the customer has to pay for the suitcase.

Step 4: Calculate total amount: \[ \text{Total Amount} = \text{Price after discount} + \text{GST} = 4600 + 552 = ₹5152 \]Answer: The total amount the customer has to pay is ₹5152.

Q3: A dealer in Jaipur sells a monitor to a customer in Jaipur at ₹7200. If the rate of GST is 18%, find:

i. IGST

Step 1: Since it is an intrastate transaction, IGST = ₹0.
Answer: IGST = ₹0.

ii. SGST

Step 2: GST rate = 18%, which is divided equally between SGST and CGST. \[ \text{SGST} = \frac{18}{2}\% = 9\% \] Calculate SGST amount: \[ \text{SGST} = \frac{9}{100} × 7200 = ₹648 \]Answer: SGST = ₹648.

iii. CGST

Step 3: CGST rate = 9% (same as SGST).
Calculate CGST amount: \[ \text{CGST} = \frac{9}{100} × 7200 = ₹648 \]Answer: CGST = ₹648.

iv. The amount paid by the customer for the monitor.

Step 4: Calculate total GST: \[ \text{Total GST} = \text{SGST} + \text{CGST} = 648 + 648 = ₹1296 \]Step 5: Calculate total amount paid: \[ \text{Total Amount} = \text{Price} + \text{Total GST} = 7200 + 1296 = ₹8496 \]Answer: The customer pays ₹8496 for the monitor.

Q4: In an interstate transaction, goods worth ₹42000 are bought at 25% discount. If the rate of GST is 12%, find:

i. IGST

Step 1: Given,
Marked Price = ₹42000
Discount = 25%
GST rate = 12%
Step 2: Calculate price after discount: \[ \text{Price after discount} = 42000 – \frac{25}{100} \times 42000 = 42000 – 10500 = ₹31500 \]Step 3: Since it is an interstate transaction, IGST is applicable.
Calculate IGST: \[ \text{IGST} = \frac{12}{100} \times 31500 = ₹3780 \]Answer: IGST = ₹3780.

ii. The amount of the bill

Step 4: Calculate total bill amount: \[ \text{Total Bill} = \text{Price after discount} + \text{IGST} = 31500 + 3780 = ₹35280 \]Answer: The amount of the bill is ₹35280.

Q5: An AC mechanic in Mumbai charges repairing cost from three different customers in Mumbai as below:
If the rate of GST is 18%, find:

Customers 	     I      II      III
Repairing cost (₹)  3000   4000    2500
Discount            10%    5%      8%

i. IGST

Step 1: Since the transaction is intrastate (within Mumbai), IGST = ₹0 for all customers.
Answer: IGST = ₹0 for all customers.

ii. CGST

Step 2: GST rate = 18%, equally divided as CGST = 9% and SGST = 9%.
Calculate price after discount:
Customer I: \[ \text{Price} = 3000 – \frac{10}{100} \times 3000 = 3000 – 300 = ₹2700 \] Customer II: \[ \text{Price} = 4000 – \frac{5}{100} \times 4000 = 4000 – 200 = ₹3800 \] Customer III: \[ \text{Price} = 2500 – \frac{8}{100} \times 2500 = 2500 – 200 = ₹2300 \]Calculate CGST (9%) on each:
Customer I: \[ \text{CGST} = \frac{9}{100} \times 2700 = ₹243 \] Customer II: \[ \text{CGST} = \frac{9}{100} \times 3800 = ₹342 \] Customer III: \[ \text{CGST} = \frac{9}{100} \times 2300 = ₹207 \] CGST for Customers = I + II + III = ₹243 + ₹342 + ₹207 = ₹792
Answer: CGST for Customers I, II, III = ₹792 respectively.

iii. SGST

Step 3: SGST = CGST = 9% for each customer:
Customer I: \[ \text{SGST} = ₹243 \] Customer II: \[ \text{SGST} = ₹342 \] Customer III: \[ \text{SGST} = ₹207 \] SGST for Customers = I + II + III = ₹243 + ₹342 + ₹207 = ₹792
Answer: SGST for Customers I, II, III = ₹792 respectively.

iv. Total amount of bill paid by each customer

Step 4: Total GST = CGST + SGST:
Customer I: ₹243 + ₹243 = ₹486
Customer II: ₹342 + ₹342 = ₹684
Customer III: ₹207 + ₹207 = ₹414
Calculate total amount:
Customer I: \[ 2700 + 486 = ₹3186 \] Customer II: \[ 3800 + 684 = ₹4484 \] Customer III: \[ 2300 + 414 = ₹2714 \]Answer: Total bill amounts for Customers I = ₹3186, II = ₹4484 and III = ₹2714 respectively.

Q6: A wholesaler in Agra (U.P.) bought goods from a dealer in Ranchi (Jharkhand). He bought:
i. 50 rings, marked ₹4000 each, at a discount of 40%.
ii. 40 necklaces, marked ₹2400 each, at a discount of 25%.
If the rate of GST on both the items is 18%, how much will the wholesaler at Agra pay to the dealer in Ranchi?

Step 1: Since it is an interstate transaction, IGST at 18% applies.
Step 2: Calculate price after discount for each item:
For rings:
Marked price per ring = ₹4000
Discount = 40%
Price after discount per ring = \[ 4000 – \frac{40}{100} \times 4000 = 4000 – 1600 = ₹2400 \] Total price for 50 rings: \[ 50 \times 2400 = ₹120000 \]For necklaces:
Marked price per necklace = ₹2400
Discount = 25%
Price after discount per necklace = \[ 2400 – \frac{25}{100} \times 2400 = 2400 – 600 = ₹1800 \] Total price for 40 necklaces: \[ 40 \times 1800 = ₹72000 \]Step 3: Calculate total price before tax: \[ 120000 + 72000 = ₹192000 \]Step 4: Calculate IGST @18%: \[ \text{IGST} = \frac{18}{100} \times 192000 = ₹34560 \]Step 5: Calculate total amount to be paid: \[ \text{Total Amount} = 192000 + 34560 = ₹226560 \]Answer: The wholesaler in Agra will pay ₹226560 to the dealer in Ranchi.