We need to determine if Alberto paid more than N dollars for his new stereo, excluding sales tax.
Evaluating the Statements
(1) The price Alberto paid for the stereo was 1.05N, including the sales tax.
- This means the total price (stereo + tax) is 1.05N.
- Without knowing the tax amount separately, we cannot determine if the pre-tax price was more than N.
- Not sufficient.
(2) Alberto paid 35 in sales tax on the purchase of his new stereo.
- This gives the tax amount but does not provide the total price or the tax rate.
- Not sufficient.
Evaluating Both Statements Together
- From statement (1): Total price = 1.05N
- From statement (2): Sales tax = 35
- Pre-tax price = Total price - Sales tax = 1.05N - 35
- To check if this is more than N, we set up the inequality:
1.05N - 35 > N
0.05N > 35
N > 700
- We can only answer "Yes" if N > 700. Since we don't know if N is greater than 700, we cannot definitively answer the question.
Conclusion
Answer: E (Statements 1 and 2 together are not sufficient).