Daniel went to a shop and bought things worth Rs. 25, out of which 30 Paise went on sales tax on taxable purchases. If the tax rate was 5%, then what was the cost of the tax free items? Choose the correct choice from the following choices.
A) 18.7
B) 20
C) 21.3
D) 21.5
E) 22

Rationale: "total cost of the items he purchased = rs . 25 given that out of this rs . 25 , 30 paise is given as tax = > total tax incurred = 30 paise = rs . 30 / 100 let the cost of the tax free items = x given that tax rate = 5 % ∴ ( 25 − 30 / 100 − x ) 5 / 100 = 30 / 100 ⇒ 5 ( 25 − 0.3 − x ) = 30 ⇒ ( 25 − 0.3 − x ) = 6 ⇒ x = 25 − 0.3 − 6 = 18.7 a"
Answer: A