application problem

Question

Bob buys a computer wholesale. He doubles the price and sells it. Assuming a sales tax rate of 6%. If a customer buys the computer for &1102.40(with tac), what was the wholesale price of the computer? I have to write an equation.

Answer 1

Hi Bob, let "x" be the wholesale price of the computer. If Bob doubles the price and sells it, the price he sold the computer for would be 2x. Using the 6% tax amount, we could set up the expression:

 

2x + .06 (percent as a decimal) (2x) = 1102.40.

 

Solve for x:

 

2x + .12x = 1102.40

 

2.12x = 1102.40

 

Divide both sides by 2.12 gives:

 

x = 520, or the wholesale price of the computer.

 

To check, substitute 520 in the equation:

 

2(520) + .12(520) = 1102.40

 

1040 + 64.40 = 1102.40

 

1102.40 = 1102.40, it checks.