A builder of tract homes reduced the price of a model by 18

A builder of tract homes reduced the price of a model by 18%. If the new price is $125,000, what was its original price? How much can be saved by purchasing the model? Round your answers to two decimal points. Its original price was $. $ can be saved by purchasing the model.

Solution

Let original price be $x
since reduction in price is 18%, the nre price is (100-18) = 82% of original price
so,
82% of $x = 125000
82*x/100 = 125000
x = 152,439.02
Answer: The original price was $152,439.02

money saved = 152,439.02 - $125,000 = $27,439.02
Answer: $27,439.02 can be saved by purchasing the model