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Assume Harry does not pay attention to taxes and perceives their values differently through the following formula: Harry's price = Given price + (1- )*taxes

Assume Harry does not pay attention to taxes and perceives their values differently through the following formula:

Harry's price = Given price + (1- )*taxes

1) If = 0.9. What is Harry's price for these items:

Price = $1,129.38. Tax = $90.32 Price = $30. Tax = $2.10

2) If Ron perceives an item to have Price = $150 but the item price is actually = $132 with Tax = $43. What is Ron's equal to?

Source: Practice Problems

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