Question

A theater group made appearances in two cities. The hotel charge before tax in the second city was $1000 lower than in the first. The tax in the first city was 5.5% , and the tax in the second city was 5%. The total hotel tax paid for the two cities was $501.25 . How much was the hotel charge in each city before tax?

Answer 1

Let the hotel charges before tax of the first hotel be x
hotel charge before tax in the second city = x-1000
taxes paid in the first city = 5.5% = 0.055x
tax paid in the second city = 5% = .05x - 50
total hotel tax paid for the two cities was $501.25
so, 0.055x+0.05x -50 = 501.25
so, 0.105x = 551.25
x = $5250
hotel charges in second city = 5250-1000 = $4250