If I have total sales amount $40,000 including tax rate 5% then what will be there the actual sales amount

Question

40,000 ×5%=2000 -  tax rate..

Then 

40,000-2000(tax)= 38000

But ,,

Actual sales 

38,000× 5%(tax) = 1900

 

Then remaining $100 ??

Answer 1

Let x be the actual sales amount before taxes:

 

x*(1.05) = $40,000

x = $40,000/1.05

x = $38,095.24