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If the production cost is Rs. 50,000 and the sales tax rate is 0%, what will be the sales tax amount?
  1. Rs. 500
  2. Rs. 5,000
  3. Rs. 0
  4. None of these
Explanation

Sales tax = 0% × Rs. 50,000 = Rs. 0.

Therefore, no sales tax is charged when the tax rate is 0%.


Last verified on 06-08-2026

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