Q25. - Algebra 1

Question

Find the total price of each item.

software: $45.00 

tax:5.5%

Step-by-Step Solution

Answer

The total cost of software is $47.475.

Step 1. Use the definition of the percentage change.

The percent change is the increase or decrease in the value of a quantity. If the new value is larger than the original value then it is a percent increase and if the change in value is lesser than the original value it is called percentage decrease.

Step 2. Concept of sales tax.

Sales tax is a tax that is added to the cost of the item the final cost is called selling cost. It is a percent of the increase in the cost.

Step 3. Find the new price.

We are given the following price and the tax percentages:

software: $45.00 

tax: 5.5% 

The tax is 5.5%  of the price. We will add this amount to the original price. 

So If x represents the new price after adding taxes then we have:

$\begin{array}{l}x=5.5\%\text{ of Cost + Cost}\\ x=5.5\%\times \$45.00+\$45.00\\ x=\frac{5.5}{100}\times 45.00+45.00\\ x=0.055\times 45.00+45.00\\ x=2.475+45.00\\ x=\$47.475\end{array}$

Thus, the total cost of software is $47.475.