Hello! So, the jeans are 20% off of the original price. While she gets 20% off of the jeans, she still has to pay 80% of the price. To find out the discount price, multiply 38 by 80% (0.8). 38 * 0.8 is 30.4 $30.40 is the discount price. There is 5% tax on the item. First off, let's add 1 to the rate. 5% is 0.05 in decimal form. 1 + 0.05 is 1.05. We add 1 to the percentage rate, because adding that and multiplying that amount will bring us straight to the new price. Now, multiply 30.4 and 1.05 together to get the new price. When you do, you get 31.92. $31.92 is the price of the jeans. 31.92 < 32.50. Jackie has enough money to buy the jeans.
