The inn's nightly cost before tax is added is $23.54
Taxes are prices added on top of goods and services
Let the normal price be x
Price including tax = x + 0.07x (note that the tax iss 7%)
Given that Price including tax = $125.19, then;
$125.19 = x + 0.07x
Find the value of x
125.19 = 1.07x
Swap
1.07x = 125.19
x = 125.19/1.07
x = $23.54
This shows that the inn's nightly cost before tax is added is $23.54
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