Answer:
$37,500
Explanation:
We can solve this problem by setting up an equation. Let's call the total revenue of the small business last year "x".
According to the problem, the total revenue this year is 32% more than last year's revenue, which means this year's revenue is 100% + 32% = 132% of last year's revenue.
We can write this relationship as:
132% of x = $49,500
To solve for x, we need to first convert 132% to a decimal by dividing by 100:
132% ÷ 100 = 1.32
Now we can rewrite the equation as:
1.32x = $49,500
To isolate x, we need to divide both sides by 1.32:
x = $49,500 ÷ 1.32
x ≈ $37,500
Therefore, the total revenue of the small business the previous year was approximately $37,500.