The price of a television set with 2% GST is $8160.
- How much does Adam have to pay if the GST is increased to 9%?
- How much more must Adam pay because of the GST increase?
(a)
Price of the television set with 2% GST
= 100% + 2%
= 102%
102% → $8160
1% → 8160 ÷ 102 = $80
100% → 100 x 80 = $8000
Price of the television set with 9% GST
= 100% + 9%
= 109%
Amount that Adam has to pay
= 109% x 8000
=
109100 x 8000
= $8720
(b)
Amount more that Adam must pay because of the GST increase
= 8720 - 8160
= $560
Answer(s): (a) $8720; (b) $560
