Final answer:
To find the original price of the watch, subtract the tax from the total price. Set up an equation to solve for the original price and calculate using the given information.
Step-by-step explanation:
To find the original price of the watch, we need to subtract the tax from the total price. The tax rate is 7%, so the amount of tax paid is 7% of the total price. We can set up an equation to solve for the original price. Let x be the original price of the watch.
tax amount = x * 7% = 0.07x
total price = original price + tax amount = x + 0.07x
Given that the total price is $234.33, we can solve for x:
x + 0.07x = $234.33
Combining like terms:
1.07x = $234.33
Dividing both sides by 1.07:
x = $234.33 / 1.07
x ≈ $218.69
Therefore, the original price of the watch was approximately $218.69.