Billy buys a fridge.

VAT at the rate of 20% is applied to the price of the fridge. Billy pays a total price of £480 for the fridge.

Work out the price of the fridge before VAT is added.

To answer this item, we let x represent the original price of the object or the fridge before it happened.

The representation would lead us to conclusion that the total amount to be paid is equal to,

1.20x = £480

The value of x from the equation,

x = 400

The answer is £ 400