Question

At a sale this week, a sofa is being sold for $403. This is a 38% what is the original; price?

Answer 1

You would use the equation

\[P = P_0 \times (1 - r)\]
P is the price now
P_o is the original price (what we want)
and
r is the discount (.38 here)

so

\[403 = P_0 \times (1 - .38)\]
\[403 = P_0 (.62)\]

How would you solve for P_o ?