Answer:
$1009.71
Step-by-step explanation:
Let x = original price.
An increase of 3% of the original price is an increase of 3% of x, or 0.03x.
The new price is x + 0.03x = 1.03x
After the 3% increase, the new price is 1.03x.
We are told that after the increase, the new price is $1040.00
Therefore,
1.03x = 1040
To solve for x, divide both sides by 1.03
x = 1040/1.03
x = 1009.71
Answer: $1009.71
