Problem
A laptop costs 1595 including GST. If GST is 10%, what was the price before GST?
Step-by-step solution
- Understand the relationship: Total price = Pre-GST price + GST on that price.
- Let the pre-GST price be P.
- GST amount = 10% of P = 0.10 P.
- Total = P + 0.10P = 1.10P.
- Set equal to total:
1.10P = 1595
- Solve for P:
P = 1595 / 1.10 = 1450
- Answer = 1450 (price before GST).
Check
GST on 1450 is 0.10 × 1450 = 145.00. 1450 + 145 = 1595, which matches the total.