Answer:
The correct answer is:
$30
Explanation:
Let the discounted price be x.
cost of bicycle at discounted price and tax = $22.26
x + (6% of x) = 22.26
x + (0.06x) = 22.26
1.06x = 22.26
∴ x = [tex]\frac{22.26}{1.06} = 21[/tex]
Therefore discounted price of bicycle without tax = $21.
Next, let us calculate the original price before discount, and let original price be y.
remember, discount value = 30% = 0.3
Original price - (30% of original price) = $21 (discount price)
y - (0.3y) = 21
0.7y = 21
∴ y = 21 ÷ 0.7 = $30. Hence original price = $30
