1. **State the problem:** We are given a gross figure of 1708 and a tax rate of 13.5%. We want to find the net amount before tax. 2. **Formula used:** The gross figure includes the net amount plus tax. If $N$ is the net amount, and tax rate is $r$, then: $$\text{Gross} = N + N \times r = N(1 + r)$$ 3. **Apply the formula:** Here, $\text{Gross} = 1708$ and $r = 0.135$ (13.5% as a decimal). So: $$1708 = N(1 + 0.135) = N(1.135)$$ 4. **Solve for $N$:** $$N = \frac{1708}{1.135}$$ 5. **Show intermediate cancellation:** $$N = \frac{\cancel{1708}}{\cancel{1.135}}$$ 6. **Calculate the value:** $$N \approx 1504.85$$ 7. **Interpretation:** The net amount before tax is approximately 1504.85.