You can put this question into the form of an equation in order to solve it.Step 1: The total cost of the items is (10+2)-0.20= £11.80. Step 2: putting it in equation form: let x be the price of 1 pencil, we know that the total cost of all the items is £11.80, therefore we can say that 32.20+11.60+2*x=11.80. Step 3: solving the equation: 6.60+1.60+2x=11.80, 8.20+2x=11.80, substract 8.20 from both sides to get 2x=11.80-8.20 this is equivalent to 2x=3.60. Therefore x=3.60/2=1.80. The price of 1 pencil is £1.80