x=original price
increased by 20%
100+20=120
increased by 20% means times 1.20
1.20x is new price
then reduced by 10%
100-10=90
1.20x times 0.90=final price
1.08x=final pricie
given final price=194.40
1.08x=194.40
divide both sides by 1.08
x=180
the original price was $180
