When you have planned to buy the gold from the market then you should be aware of the fact that jewelers can trick you in number of ways to cheat you by selling you low quality gold in higher price. Thus, the main method adopted by the jewelers to con people is selling low carat gold and charging for high carat. This we can understand as Gold jewelry can be made only out of 22 carat gold while diamond and other precious stones-studded gold jewelry can be made only with 18 carat gold.
However it is common practice or ill motive of jewelers or jewelry shop that they charge customers the price of 24 carat gold. Thus the simple formula to calculate the gold price is as follows:
If 10 grams of gold with 24 carat purity is priced at 25,000, a customer can use this simple formula (22/24x25,000 = Rs 22,917) to calculate the 22 carat gold price while that of 18 carat gold would be 18/24x25,000 = Rs 18,750. Thus those buying gold studded with diamond or other precious stones are being gypped of Rs 4,167 for every 10 grams of gold purchased as they pay for 24 carat gold while what they get is 18 carat gold.
