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Surprise Party
David is throwing Robert a surprise birthday party but he has to stay within his budget. He spent half of his money plus $2.00 on the cake. Half of what he had left plus $2.00 was spent on balloons and streamers. Then he spent half of what he had left plus $1.00 on candy. Now he is out of money, how much did he start with?


Solution:
This one is best solved working backwards, the last part David spent half of what was left plus $1.00 on candy and then was out of money. That means he must have spent $2.00 on Candy as $1.00 was half of what he had using the same logic backwards:

$2.00 on candy
$6.00 on Balloons and Streamers
$12.00 on the cake

Total of $20.00




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