Adam wants to buy a hi-fi system. The usual price of the hi-fi system is $1250.
As a privileged card member, he is entitled to a discount of 40%.
He needs to pay a GST of 4%.
- How much is the GST?
- How much does he pay for the hi-fi system in all?
Discount
= 40% x 1250
=
40100 x 1250
= $500
Amount that Adam has to pay
= 1250 - 500
= $750
GST
= 4% x 750
=
4100 x 750
= $30
(b)
Amount that Adam pays for the hi-fi system in all
= 750 + 30
= $780
Answer(s): (a) $30; (b) $780