The price of a printer with 14% GST is $1254.
- How much does Adam have to pay if the GST is decreased to 11%?
- How much saving does Adam enjoy as a result of the decrease in GST?
(a)
Price of the printer with 14% GST
= 100% + 14%
= 114%
114% → $1254
1% → 1254 ÷ 114 = $11
100% → 100 x 11 = $1100
Price of the printer with 11% GST
= 100% + 11%
= 111%
Amount that Adam has to pay
= 111% x 1100
=
111100 x 1100
= $1221
(b)
Saving that Adam enjoys
= 1254 - 1221
= $33
Answer(s): (a) $1221; (b) $33