A furniture store was having Chinese New Year discount of 20% off its usual price. The GST is at 4%. Nora used her credit card to purchase a dining table and Tommy used cash to pay for a similar dining table.

1. How much did Nora pay in the end after GST? Round off your answer to the nearest cent.
2. How much did Tommy pay in the end after GST? Round off your answer to the nearest ten cent.

New dining table Usual Price: $1120

Further Discount: Pay by credit card: 5% off discounted price before GST! Pay by cash: $5 off discounted price before GST!

	Credit Card	Cash
Usual Price	$1120	$1120
Less 20% discount	- $224.00	- $224.00
Price after 20% discount	$896.00	$896.00
Less further discount	- $44.80	- $5
Price after further discount	$851.20	$891.00
Price after GST of 4%	$885.25	$926.60

(a)
New selling price after 20% discount
= 100% - 20%
= 80%

Price of the dining table after Chinese New Year discount
= 80% x 1120
= ⁹⁵₁₀₀ x 1120
= $896.00

New selling price after 5% further discount
= 100% - 5%
= 95%

Price of the dining table after credit card discount
= 95% x 896.00
= ⁹⁵₁₀₀ x 896.00
= $851.20

Price to pay after including GST
= 100% + 4%
= 104%

Price of the dining table after GST
= 104% x 851.20 
= ¹⁰⁴₁₀₀ x 851.20 
≈ $885.25 (Round off to nearest cent)

(b)
Price of the dining table after cash discount
= 896.00 - 5
= $891.00

Price of the dining table after GST
= 104% x 891.00 
= ¹⁰⁴₁₀₀ x 891.00 
≈ $926.60 (Round off to nearest ten cent)

Answer(s): (a) $885.25; (b) $926.60