Given,
Discount percent = 20%
VAT percent = 10%
Amount of discount = Rs. 750
To find, Amount of VAT
Let, marked price (M.P) = X
By formula,
Amount of discount = discount % of M.P.
or, Rs. 750 = 20% of X
or, Rs. 750 = \(\frac{\displaystyle20}{100}\times X\)
or, Rs. 750 = \(\frac x5\)
or, x = Rs. 3750
Marked price (x) = Rs. 3750
Here,
Selling price = M.P. - amount of discount = Rs. 3750 - Rs. 750
= Rs. 3000
Again, by formula
Amount of VAT = VAT% of S.P
= 10% of Rs.3000
= \(\frac{10}{100}\) x Rs. 3000
= Rs. 300
Therefore, the amount of VAT is Rs. 300.