Answer
The price of jacket before the reduction is \[\$50\].
Work Step by Step
Let the price of jacket before the reduction is p. The jacket is bought at a price of \[\$20\], with a reduction of \[60%\], that is,\[\$20\] is the \[40%\] of the price before the reduction.The price before the reduction can algebraically be stated as,
\[\begin{align}
& p=\frac{20}{40}\times 100 \\
& p=\frac{1}{2}\times 100 \\
& p=50 \\
\end{align}\]
The price of jacket before the reduction is \[\$50\].