Question

Tara looks up hotel room prices for a holiday.

A hotel has a 25% off sale on its prices.
A VAT charge of 20% must be added on at the end of the transaction after any discount.
If the regular price of a room is £80 per night, how much will Tara pay for 5 nights?

Answer 1

Discounted price = 0.75 * £80 = £60

Total cost for 5 nights = 5 nights * £60 per night = £300

VAT charge = 20% * £300 = £60

£300 + £60 = £360

Therefore, Tara will pay £360 for 5 nights at the hotel after the discount and VAT charge.

Answer 2

360

Explanation:

80*5=400 and .25*400=100 so it costs 300 for five nights without tax, and adding on the tax raises the cost to 60 (300+(.2*300)=360)