The suggested list price of a new car is $1200. The dealer's cost is 85% of the list. How much will you pay if the dealer is willing to accept $100 over the cost for the car?

(1) How do I set up an equation to solve this question?

(2) In the question itself we read: "The dealer's cost is 85% of the list." Does this mean we are no longer dealing with 85% but actually 15%?

(3) What does the wording "$100 over the cost for the car" mean?