Question

The sales tax in a certain county is 7%. If an item marked at $19.94 is sold within the county, estimate the final cost of the item once tax is included.

Answer 1

Given:

Rate of sales tax = 7%

Marked price of an item = $19.94

To find:

The final cost of the item once tax is included.

Solution:

We have,

Rate of sales tax = 7%

Marked price of an item = $19.94

$\text{Sales tax}=\dfrac{7}{100}\times 19.94$

$\text{Sales tax}=1.3958$

Now, final cost of the item once tax is included is

$\text{Final cost}=\text{Marked price}+\text{Sales tax}$

$\text{Final cost}=19.94+1.3958$

$\text{Final cost}=21.3358$

Therefore, the final cost of the item once tax is included is $21.3358.