rex21,
Method-1:
If Sally paid $130 for a coat after a discount of 60%, it means that she only paid 40% of the actual price of the coat. Right? Good for Sally.
Let 'x' be the original undiscounted price of the coat.
=>$130=(40/100)*x
Solve for 'x' to get the original price of the coat.
Method-2:
Let 'x' be the original undiscounted price of the coat.
Sally paid $130 after a 60% discount
=> 130=x-(60/100)*x (after subtracting 60% of the coat price due to the discount!)
Solve for 'x' to obtain the original price of the coat.
Notice that this the exact same equation we used in Method-1 but with a different interpretation.
Cheers,
Sai.