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DennaMueller
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Connie Paid a sales tax of 8 percent

by DennaMueller Wed Aug 05, 2009 6:48 pm

Connie Paid a sales tax of 8 percent on her purchase. If the sales tax had been only 5%, she would have paid $12 less in sales tax on her purchase. What was the total amount that Connie paid for her purchase including sales tax?

    368
    380
    400
    420
    432


I actually got this problem right by picking numbers, but I would like to know how to set up an equation.

The answer is 432
tomslawsky
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Re: Connie Paid a sales tax of 8 percent

by tomslawsky Wed Aug 05, 2009 10:44 pm

1) Solve for price:

P(.08)= (.05P)-12

P=400

2) add sales tax:

400(1.08) = 432
Ben Ku
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Re: Connie Paid a sales tax of 8 percent

by Ben Ku Tue Aug 18, 2009 10:34 pm

Tom, Good approach on this problem.

If we let x be the purchase price, then the tax at 8% is 0.08x, and the tax at 5% is 0.05x. That is how the first equation is set up:
0.08x = 0.05x + 12
So x = 400.

Now she paid a sales tax of 8%, which is 0.08*400 = 32, so her total price is $432.

Hope that helps!
Ben Ku
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ManhattanGMAT
hatemeall143
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Re: Connie Paid a sales tax of 8 percent

by hatemeall143 Wed Jul 25, 2012 7:59 am

Hi tomslawsky

your approach is wrong
bcaz P(.08)= (.05P)+12

or P(.05)=P(.08)-12
RonPurewal
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Re: Connie Paid a sales tax of 8 percent

by RonPurewal Fri Jul 27, 2012 1:38 am

yes, you are correct; tom's approach is backwards (although the correct approach is probably obvious to anyone who's looking). thanks.