Rakesh goes to a departmental store and purchases the following articles:

Solution:

(i) Cost of $b$ iscuits and bakery products $=$ Rs. 50

VAT charged $=5 \%$

So, VAT $=5 \%$ of Rs. $50=\frac{5}{100} \times 50=$ Rs. $2.50$

So, the total amount paid for biscuits and bakery products $=$ Rs. $(50+2.50)=$ Rs. $52.50$

(ii) $C$ ost of medicine $=$ Rs. 90

VAT charged $=10 \%$

So, VAT $=10 \%$ of Rs. $90=\frac{10}{100} \times 90=$ Rs. 9

So, the total amount paid for medicines $=$ Rs. $(90+9)=$ Rs. 99

(iii) $C$ ost of clothes $=$ Rs. 400

VAT charged $=1 \%$

So, $\mathrm{VAT}=1 \%$ of Rs. $400=\frac{1}{100} \times 400=$ Rs. 4

So, the total amount paid for clothes $=$ Rs. $(400+4)=$ Rs. 404

(iv) $C$ ost of $\cos$ metics $=$ Rs. 150

VAT charged $=10 \%$

So, VAT $=10 \%$ of Rs. $150=\frac{10}{100} \times 150=$ Rs. 15

So, the total amount paid for cosmetics $=$ Rs. $(150+15)=$ Rs. 165

Hence, the total amount Rakesh paid at the departmental store $=$ Rs. $(52.50+99+404+165)=$ Rs. $720.50$