We can solve problems where there is a percent increase or decrease by using what we know about equations. For example, a camping store increases the price of a tent by 25%. A customer then uses a $10 coupon for the tent and pays $152.50. We can draw a diagram that shows first the 25% increase and then the $10 coupon.

The price after the 25% increase is p+.25p or 1.25p. An equation that represents the situation could be 1.25p-10=152.50. To find the original price before the increase and discount, we can add 10 to each side and divide each side by 1.25, resulting in p=130. The original price of the tent was $130.