Set Up an Equation That Can Be Used to Solve

question 11

Multiple Choice

Set up an equation that can be used to solve the problem. Solve the equation and answer the question asked.
-After a 14% price reduction, a boat sold for $21,500. What was the boat's price before the reduction? (Round to the nearest cent, if necessary.)

• A) $3010.00
• B) $25,000
• C) $153,571.43
• D) $24,510.00

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Definitions:

Neoclassical Economics

An economic theory that focuses on how supply and demand balance to allocate resources efficiently in markets.

Behavioral Economics

A field of study that analyzes how psychological, cognitive, emotional, cultural, and social factors affect economic decision-making processes.

Rational Decisions

Choices made by individuals or entities based on logical assessment and comparison of the costs and benefits associated with different alternatives.

Financial Crisis

A situation where financial assets suddenly lose a significant part of their nominal value, often leading to widespread economic disruption and possibly a banking crisis.