Question

what is the final cost of a $40 item after an 8% tax is applied

Answer 1

43.2 dollars is your answer

Answer 2

The easiest way to do this type of problem is:
40 * 1.08 = $43.20

The 1. represents the 100% cost of the item and the .08 represents the 8% tax.
That's where I got the 1.08