A furniture store was having Christmas discount of 25% off its usual price. The GST is at 7%. Xylia used her credit card to purchase a dining table and Michael used cash to pay for a similar dining table.
- How much did Xylia pay in the end after GST? Round off your answer to the nearest cent.
- How much did Michael pay in the end after GST? Round off your answer to the nearest ten cent.
New dining table Usual Price: $640 |
Further Discount: Pay by credit card: 15% off discounted price before GST!
Pay by cash: $10 off discounted price before GST! |
|
Credit Card |
Cash |
Usual Price |
$640 |
$640 |
Less 25% discount |
- $160.00 |
- $160.00 |
Price after 25% discount |
$480.00 |
$480.00 |
Less further discount |
- $72.00 |
- $10 |
Price after further discount |
$408.00 |
$470.00 |
Price after GST of 7% |
$436.56 |
$502.90 |
(a)
New selling price after 25% discount
= 100% - 25%
= 75%
Price of the dining table after Christmas discount
= 75% x 640
=
85100 x 640
= $480.00
New selling price after 15% further discount
= 100% - 15%
= 85%
Price of the dining table after credit card discount
= 85% x 480.00
=
85100 x 480.00
= $408.00
Price to pay after including GST
= 100% + 7%
= 107%
Price of the dining table after GST
= 107% x 408.00
=
107100 x 408.00
≈ $436.56 (Round off to nearest cent)
(b)
Price of the dining table after cash discount
= 480.00 - 10
= $470.00
Price of the dining table after GST
= 107% x 470.00
=
107100 x 470.00
≈ $502.90 (Round off to nearest ten cent)
Answer(s): (a) $436.56; (b) $502.90