Question

What is the original price of an item cost if the tax is 9.25% and the discount is 25% and the new price after discount and tax is $62.28?

Answer 1

Answer: $ 91.50.

Step-by-step explanation:

Let x be the original price.

Since discount is applied before tax.

New price = (Original price - Discount)-Tax rate (Original price - Discount)

, where Discount = Discount rate x Original price.

Substituting values, we get

$62.28=(x-0.25x)-0.0925(x-0.25x)$

$62.28=(0.75x)-0.0925(0.75x)$

$62.28=0.75x-0.069375x$

$62.28=0.680625x$

$x=\frac{62.28}{0.680625}$

$x=91.50$

Hence, the original price was  $ 91.50.