The first thing we want to do to solve this problem is clearly write out what each of the numbers means. For Times Square magnets, we have that the price of each magnet is 2 dollars / magnet, there are 4 magnets / set, and Tom buys 12 sets. For Statue of Liberty magnets, the price is 3 dollars / magnet, there are 5 magnets / set, and Tom buys 12 sets.
We can make a table of these values:
Magnets Price ($$/magnets) Set Size (magnets/set) Quantity (sets)
T.S. 2 4 12
S. of L. 3 5 12
Now, we can use the formula
Total Cost = Number of Magnets Bought * Price = (Quantity * Set Size) * Price
So we see that
Cost of T.S. magnets = Quantity * Set Size * Price
= 12 sets * 4 magnets * 2 dollars = $96
set magnet
Cost of S. of L. magnets = Quantity * Set Size * Price
= 12 sets * 5 magnets * 3 dollars = $180
set magnet
= 12 sets * 5 magnets * 3 dollars = $180
set magnet
So the total amount spent was $96 + $180 = $276.