The price of an article is Rs 8,250 which includes tax at 10%. Find how much more or less does a customer pay for the article, if the tax on the article:
increases by 2%

Answer

To solve the problem step by step, we will break it down as follows:

### Step 1: Understand the Given Information
The selling price of the article is Rs 8,250, which includes a tax of 10%. We need to find out how much more a customer will pay if the tax increases by 2%, making it a total of 12%.

### Step 2: Define the Market Price
Let the market price of the article be denoted as \( X \).

### Step 3: Calculate the Tax Amount at 10%
The tax amount at 10% can be calculated as:
\[ \text{Tax} = 10\% \text{ of } X = \frac{10}{100} \times X = 0.1X \]

### Step 4: Write the Selling Price Equation
The selling price (SP) is the market price plus the tax:
\[ \text{Selling Price} = X + 0.1X = 1.1X \]
Given that the selling price is Rs 8,250, we can set up the equation:
\[ 1.1X = 8250 \]

### Step 5: Solve for the Market Price \( X \)
To find \( X \), we divide both sides of the equation by 1.1:
\[ X = \frac{8250}{1.1} = 7500 \]
So, the market price of the article is Rs 7,500.

### Step 6: Calculate the New Tax Amount at 12%
Now, if the tax increases to 12%, the new tax amount will be:
\[ \text{New Tax} = 12\% \text{ of } X = \frac{12}{100} \times X = 0.12X \]

### Step 7: Calculate the New Selling Price
The new selling price with the increased tax will be:
\[ \text{New Selling Price} = X + 0.12X = 1.12X \]
Substituting the value of \( X \):
\[ \text{New Selling Price} = 1.12 \times 7500 = 8400 \]

### Step 8: Calculate the Difference in Price
Now, we need to find out how much more the customer pays:
\[ \text{Difference} = \text{New Selling Price} - \text{Old Selling Price} = 8400 - 8250 = 150 \]

### Conclusion
The customer pays Rs 150 more due to the increase in tax.

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