The price of a laptop with 13% GST is $1017.
- How much does Adam have to pay if the GST is decreased to 2%?
- How much saving does Adam enjoy as a result of the decrease in GST?
(a)
Price of the laptop with 13% GST
= 100% + 13%
= 113%
113% → $1017
1% → 1017 ÷ 113 = $9
100% → 100 x 9 = $900
Price of the laptop with 2% GST
= 100% + 2%
= 102%
Amount that Adam has to pay
= 102% x 900
=
102100 x 900
= $918
(b)
Saving that Adam enjoys
= 1017 - 918
= $99
Answer(s): (a) $918; (b) $99