Bob pays $13.25 for a shirt. That price includes a 10% tax. The shirt is 25% off its original price. How much did the shirt originally cost?
let x = original cost of the shirt
25% off is another way of saying you're paying 75% of the original cost. (1 - 0.25 =0.75) Less than 100% of the item cost.
10% tax is applied to the amount you are paying. (ie. discounted shirt price, 75% the original cost of the shirt)
The 10% tax is an added amount, just like saying you are paying 110% of the discounted shirt price. 100% is the item cost, + 10% tax (1 + 0.1 = 1.1)
13.25 = 1.1(0.75x)
13.25 = 0.825x
13.25/0.825 = x
16.06 = x
Check and see if it makes sense.
16.06 - 0.25(16.06) = 12.04
after tax
12.04 + 0.1(12.04) = 13.25