Question

In a certain state, gasoline stations compute the price per gallon p, in dollars, charged at the pump by adding a 4 percent sales tax to the dealer’s price per gallon d, in dollars, and then adding a gasoline tax of $0.18 per gallon. Which of the following gives the dealer’s price per gallon d in terms of the price per gallon p charged at the pump?

Answer 1

The required equation is
`d=(p-0.18)/(1.04)`.

Explanation:

Consider the provided information.

Gasoline stations compute the price per gallon p, in dollars, charged at the pump by adding a 4 percent sales tax to the dealer’s price per gallon d, in dollars.

Let dealer's price is represented by d and the sales price is represented by p.

It is given that the gasoline stations charged at the pump by adding a 4 percent sales tax to the dealer’s price per gallon.Then adding a gasoline tax of $0.18 per gallon.

This can be written as:

`p=d+4\%d+0.18\\p=d+0.04d+0.18\\p=1.04d+0.18`

Solve the above equation for d.

`p=1.04d+0.18\\1.04d=p-0.18\\d=(p-0.18)/(1.04)`

Hence, the required equation is
`d=(p-0.18)/(1.04)`.