Answer

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**Hint:**Use the fact that the VAT amount added to the list price gives the cost price of a product. The formula for it is as follows

\[C.P.=list\ price+VAT\%\times list\ price\]

Now, in this question, we will simply put the values of the respective terms and then we will get the value of list price.

**Complete step by step answer:**

As mentioned in the question, we have to find the list price of the watch.

Now, let the list price of the watch be x.

So, on using the formula that is mentioned in the hint, we get the following result

\[\begin{align}

& \Rightarrow C.P.=list\ price+VAT\%\times list\ price \\

& \Rightarrow 825=x+10\%\times x \\

& \Rightarrow 825=x+\dfrac{10}{100}\times x \\

& \Rightarrow 825=\dfrac{110}{100}\times x \\

& \Rightarrow 825=\dfrac{11}{10}\times x \\

& \Rightarrow x=Rs.750 \\

\end{align}\]

**Hence, the list price of the watch is Rs. 750.**

**Note:**In this question, it is very important to know all the formulae beforehand and also, the calculations should also be done very carefully as there are very high chances that the students might commit a mistake while solving the question and getting to a solution.

Also, without having clarity in the formulae one could never get to the solution.

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