A seller gives a 20% discount and charges 18% GST on the discounted price. On a Rs. 2000 item, how much is payable?
Show answer & explanation
Correct answer: A
Explanation
The correct answer is option 1 i.e. Rs. 1888.
MP = 2000
20% discount ⇒ Discounted price = 2000 × 8/10 = 1600
18% GST on 1600 = 0.18 × 1600 = 288
Payable amount = 1600 + 288 = 1888