The price of a laptop with 5% GST is $4410.
- How much does Adam have to pay if the GST is increased to 6%?
- How much more must Adam pay because of the GST increase?
(a)
Price of the laptop with 5% GST
= 100% + 5%
= 105%
105% → $4410
1% → 4410 ÷ 105 = $42
100% → 100 x 42 = $4200
Price of the laptop with 6% GST
= 100% + 6%
= 106%
Amount that Adam has to pay
= 106% x 4200
=
106100 x 4200
= $4452
(b)
Amount more that Adam must pay because of the GST increase
= 4452 - 4410
= $42
Answer(s): (a) $4452; (b) $42