You are charged $279 on your credit card for a hotel stay, you call to complain about the unexpectedly high charge, but are told there are a total of 24% taxes for hotel rooms where you stayed. What was the advertised price of the room before taxes?
P + 0.24P = 279.
1.24P = 279,
P = 279/1.24 = Price of room.
279 / 1.24
To find the advertised price of the room before taxes, you can use the following steps:
1. Convert the total charge to a decimal by dividing it by 100: $279 / 100 = 2.79
2. Subtract the tax rate percentage from 1 to get the portion of the original price before taxes: 1 - 0.24 = 0.76
3. Divide the total charge (after tax) by the portion of the original price to find the advertised price before taxes: 2.79 / 0.76 = $3.66 (rounded to the nearest cent)
Therefore, the advertised price of the room before taxes was approximately $366.
To determine the advertised price of the room before taxes, we need to first calculate the portion of the total charge that corresponds to the taxes.
Step 1: Calculate the tax amount.
The charge you were billed for the hotel stay is $279, and it includes a total of 24% taxes.
To find the tax amount, we multiply the total charge by the tax rate (as a decimal):
Tax amount = $279 * 0.24 = $66.96
Step 2: Calculate the room price before taxes.
To find the advertised price of the room before taxes, we need to subtract the tax amount from the total charge.
Room price before taxes = Total charge - Tax amount
Room price before taxes = $279 - $66.96 = $212.04
Therefore, the advertised price of the room before taxes was $212.04.