Question

Raul has $40

Answer 1

The answer to the problem is b

Answer 2

Let, amount of money he can spend on the present before tax=p

The tax on present of cost p =6% of p=0.06p

Amount of money he spent on present after tax= p +0.06p=1.06p

the amount he can spent should be less than 40

So, 1.06p≤40

To get the value of p, let us divide by 1.06 on both sides

$\frac{1.06}{1.06}p \leq\frac{40}{1.6}$

$\frac{1}{1}p \leq 37.73$

p≤37.73 or 37.73≥p

Answer:Option (b)