Math Word Problems

Question

A store was leased with the agreement that the rent would be $300 per month ply 4.5% of the gross income over $200,000. If the total rent was $4,725 for 2012, what was the gross amount of business for the year

Answer 1

Let the annual gross business be $ X over $ 200000

 

Annual rent = $300*12 + (4.5/100)*X

 

Its is given that he paid $4725 as rent for the year 2012.

 

We have 

 

4725 = 3600 + 0.045X

 

X = 1125 / 0.045 = $25000

 

His gross annual business = 200000+X = $ 200000+25000 = $225000