A customer purchases two articles in a shop. The customer has to pay $3 more as service tax, if the combined cost of the two articles was less than $20. The customer has to pay a service tax of 20% of the total cost if it exceeded $20. What is the total cost of the two articles?
(A) The total service tax on the two articles is $18.
(B) The cost of each of the articles is not less than $6
Solution (Posted on Dec 1st):
A is sufficient -Let T be the total service tax. Then as service tax is 18 so it is clear than the cost if greater than 20. Therefore we can use service tax = 20 % of T . Therefore 18 = 20/100*T to get T.
B is not sufficient. Cost of each article is more than 6 mean combined cost is more than 12 but could be less than or more than 20. So we don’t know from this the value of T.
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