The price of a tablet with 2% GST is $9690.
- How much does Adam have to pay if the GST is increased to 3%?
- How much more must Adam pay because of the GST increase?
(a)
Price of the tablet with 2% GST
= 100% + 2%
= 102%
102% → $9690
1% → 9690 ÷ 102 = $95
100% → 100 x 95 = $9500
Price of the tablet with 3% GST
= 100% + 3%
= 103%
Amount that Adam has to pay
= 103% x 9500
=
103100 x 9500
= $9785
(b)
Amount more that Adam must pay because of the GST increase
= 9785 - 9690
= $95
Answer(s): (a) $9785; (b) $95