Joe has $10,000 to purchase a used car. If the sales tax is 7% and the fee for title and license plates is $200, what is the maximum amount Joe can spend for a car?

2 answers

1.07x + 200 = 10000

solve for x
Let M be the maximum (dealer) price he can pay for the car, before tax and license.

M + 0.07 M + 200 = 10,000
1.07 M = 9800

Solve for M
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