Maharashtra State Board · Class 10 · Mathematics · Algebra Chapter 4

Financial Planning — Formula Sheet

Board Formulas

18 formulas

1.GST on a Supply★
$GST = \frac{GST rate}{100} \times Taxable value$
Taxable value is the price of the goods or service before tax (after any discount).
2.Intra-State Supply: CGST and SGST★
$CGST rate = SGST rate = \frac{GST rate}{2}$
Within one state, half the GST goes to the Centre (CGST) and half to the State (SGST). Example: 18% GST = 9% CGST + 9% SGST. In a Union Territory without its own legislature, UTGST takes the place of SGST.
3.Inter-State Supply: IGST
$IGST = \frac{GST rate}{100} \times Taxable value$
For a sale from one state to another, the whole GST is charged as IGST at the full rate. It is not split.
4.Total Amount of a Tax Invoice
$Total = Taxable value + CGST + SGST$
For an inter-state invoice, Total = Taxable value + IGST.
5.Taxable Value After Discount
$Taxable value = Marked price - Discount$
GST is charged on the discounted price, not on the marked price.
6.Taxable Value from the Total Amount
$Taxable value = \frac{100 \times Total amount}{100 + GST rate}$
Use when the price including GST is given. Example: Rs 5900 including 18% GST means taxable value 5900 × 100/118 = Rs 5000.
7.Input Tax Credit (ITC)★
$GST payable = Output tax - Input tax (ITC)$
Output tax = GST collected on sale; input tax = GST paid on purchase. A trader pays the government only the difference. For an intra-state trader, CGST payable = SGST payable = half of this.
8.Shares at Premium, at Par, at Discount
$MV > FV : premium, MV = FV : at par, MV < FV : discount$
$FV$ : Face value of a share (printed value, Rs) · $MV$ : Market value of a share (price on the stock market, Rs)
Premium = MV − FV; discount = FV − MV. The face value is fixed by the company and printed on the share certificate; the market value keeps changing with demand.
9.Dividend per Share★
$Dividend per share = \frac{Rate of dividend}{100} \times FV$
Dividend is declared as a percentage of the FACE value, whatever the market price.
10.Total Dividend
$Total dividend = Number of shares \times Dividend per share$
This is the investor's income from the shares.
11.Number of Shares Bought
$Number of shares = \frac{Total investment}{MV of one share}$
If brokerage and GST are included, divide by the purchase value of one share instead of the MV.
12.Brokerage
$Brokerage = \frac{Rate of brokerage}{100} \times MV$
Charged by the broker on the market value, both when buying and when selling.
13.GST on Brokerage
$GST on brokerage = \frac{18}{100} \times Brokerage$
Brokerage is a service, so 18% GST is charged on the brokerage amount only. If a question does not mention GST on brokerage, the textbook leaves it out.
14.Purchase Value of a Share★
$Purchase value = MV + Brokerage + GST$
When buying, brokerage and GST are ADDED to the market value.
15.Sale Value of a Share
$Sale value = MV - Brokerage - GST$
When selling, brokerage and GST are SUBTRACTED from the market value — this is what the seller actually receives.
16.Rate of Return★
$Rate of return = \frac{Income (dividend)}{Investment} \times 100$
Answer in percent. Use the amount actually invested (based on MV), not the face value. Ignoring brokerage, it equals dividend per share ÷ MV × 100.
17.Profit or Loss on Shares
$Profit = Total sale value - Total purchase value$
A negative result is a loss. Use the purchase value and sale value including brokerage and GST. If a dividend was received before selling, the textbook adds it to the money received: Profit = (sale value + dividend) − sum invested.
18.Units of a Mutual Fund
$Number of units = \frac{Amount invested}{NAV per unit}$
NAV = net asset value of one unit. In a SIP (Systematic Investment Plan) a fixed amount is invested at regular intervals, so more units are bought when the NAV is low.