Molly wants to buy a dress that costs $20. She has a coupon for 40% off, and there is a 10% sales tax. How much will she pay altogether?
Answer the questions to find out.

1. What is 40% of $20? Show your work. (2 points)

2. After using the coupon, what is the sale price of the dress? (2 points)

3. How much is the 10% tax on the sale price? Explain how you found your answer. (3 points)

4. After tax is added to the sale price, how much does Molly pay for the dress? (3 points)

2. Sale Price = $12. This means the cost of the dress to Molly is $12. She will pay $12 for a dress with an original price of $20 when discounted 40%.

3. The 10% tax will be $1.20. When a store-issued coupon is redeemed, the sales tax is based on the discounted price (the cost of the item after the coupon is applied). So multiply 12 x 0.10 and you will get 1.20.

4. After tax is added to the sale price, she will pay $13.20.

12.00 + 1.20 = 13.20.