Carlos went to a sports store to buy running shoes. Running shoes were on sale, with prices reduced by on every pair of shoes. Carlos also knew that he had to pay a sales tax on the discounted price. He had dollars. What is the original (before discount) price of the most expensive shoes he could afford to buy?
- A)
$46
- B)
$50
- C)
$48
- D)
$47
- E)
$49
Answer
B
Key insight
A 20% discount then 7.5% tax multiplies the price by 0.8 times 1.075 = 0.86, so the budget allows 43/0.86 = 50 dollars.
Solution
Let be the original price. After the discount the shoes cost ; adding tax gives
Carlos needs , so
The most expensive pair he can afford is : indeed drops to on sale, and plus tax is exactly.
The answer is .
Why this works
Successive percent changes are successive multiplications by , and multiplication is commutative, so the order of discount and tax does not matter; only the product does. Once the price is a single multiple of , the budget becomes a one-line inequality.
Alternative approach
Test the choices from the top: fits exactly. Any larger price already exceeds the budget, so is the maximum.
The trap
Combining the two percents additively (a net 12.5% cut) and dividing 43 by 0.875, which points to 49.
Common mistakes
- Combining the two percents additively (a net 12.5% cut) and dividing 43 by 0.875, which points to 49.
- Applying the tax to the original price instead of the discounted price, or subtracting the tax rather than adding it.
Techniques
Set up the equation/formula and compute; no special trick needed