Question

Deidre goes out for lunch and realizes that she only has $10 with her. If she wants to leave a 20% tip and knows she will have to pay 5% tax on her lunch, what is the most expensive lunch she can order?

Answer 1

$7.60

Explanation:

10 decrease 20% =

10 × (1 - 20%) = 10 × (1 - 0.2) = 8

8 decrease 5% =

8 × (1 - 5%) = 8 × (1 - 0.05) = 7.6