BUSINESS, FUR1 2005 VCAA 2 MC

The price of a book is `$22`. It includes a Goods and Services Tax (GST) of `text(10%)`.
The price before this Goods and Services Tax (GST) is added is

A. $19.80

B. $20.00

C. $24.00

D. $24.20

E. $24.40

Show Answers Only

`B`

Show Worked Solution

`text(Let)\ x = text(original price before GST)`

`x + 0.1x`	`= 22`
`1.1x`	`= 22`
`x`	`= 20`

`:.\ text(Price before GST) = $20`

`=> B`