SOLUTION: A couple does not wish to spend more than $70 for dinner at a restaurant. If a sales tax of 5% is added to the bill and they plan to tip 20% after the tax has been added, what is t

Question 942217: A couple does not wish to spend more than $70 for dinner at a restaurant. If a sales tax of 5% is added to the bill and they plan to tip 20% after the tax has been added, what is the most they can spend for the meal?
Found 2 solutions by rfer, TimothyLamb:
Answer by rfer(16322) (Show Source): You can put this solution on YOUR website!
70*0.80=56
56/1.05=53.33
Answer by TimothyLamb(4379) (Show Source): You can put this solution on YOUR website!
x = cost of meal before tax (dollars)
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assume tip is calculated on x (before tax), this is usually done:
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meal + tax + tip = 70
x + 0.05x + 0.20x = 70
1.25x = 70
x = 70/1.25
x = 56.00
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now, assume tip is calculated on x+tax (after tax), this is usually not done:
meal + tax + tip = 70
x + 0.05x + 0.20*(1.05x) = 70
x + 0.05x + 0.21x = 70
1.26x = 70
x = 70/1.26
x = 55.56
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