A furniture store was having Grand Opening discount of 10% off its usual price. The GST is at 7%. Julie used her credit card to purchase a breakfast hutch and Tim used cash to pay for a similar breakfast hutch.
- How much did Julie pay in the end after GST? Round off your answer to the nearest cent.
- How much did Tim pay in the end after GST? Round off your answer to the nearest ten cent.
New breakfast hutch Usual Price: $760 |
Further Discount: Pay by credit card: 10% off discounted price before GST!
Pay by cash: $10 off discounted price before GST! |
|
Credit Card |
Cash |
Usual Price |
$760 |
$760 |
Less 10% discount |
- $76.00 |
- $76.00 |
Price after 10% discount |
$684.00 |
$684.00 |
Less further discount |
- $68.40 |
- $10 |
Price after further discount |
$615.60 |
$674.00 |
Price after GST of 7% |
$658.69 |
$721.20 |
(a)
New selling price after 10% discount
= 100% - 10%
= 90%
Price of the breakfast hutch after Grand Opening discount
= 90% x 760
=
90100 x 760
= $684.00
New selling price after 10% further discount
= 100% - 10%
= 90%
Price of the breakfast hutch after credit card discount
= 90% x 684.00
=
90100 x 684.00
= $615.60
Price to pay after including GST
= 100% + 7%
= 107%
Price of the breakfast hutch after GST
= 107% x 615.60
=
107100 x 615.60
≈ $658.69 (Round off to nearest cent)
(b)
Price of the breakfast hutch after cash discount
= 684.00 - 10
= $674.00
Price of the breakfast hutch after GST
= 107% x 674.00
=
107100 x 674.00
≈ $721.20 (Round off to nearest ten cent)
Answer(s): (a) $658.69; (b) $721.20