Sales Tax and Total Cost
12-8
A sales tax is the amount of tax added to the
price of an item by a state or local government.
The rate of sales tax is given as a percent.The total cost is the sum of the marked, or list,
price and the tax.A remote control toy costs $224.50, plus 5% sales
tax. Find the sales tax and total cost of the toy.To find the sales tax, T, write and solve an
equation or a proportion.To find the total cost, TC, write and solve
the equation: TC$224.50 $11.23.TC$224.50 $11.23
TC$235.73The total cost of the toy is $235.73.- Sales Tax Rate of Sales TaxMarked Price
T RMP - Total CostMarked Price Sales Tax
TCMPT
First estimate: 5% of $220 2
1
0 $220$11
Then use one of these methods to find the sales tax.Method 1Write and solve an equation.
T5% of $224.50.
T5% $224.50
T$11.225 $11.23The sales tax is $11.23.Write and solve a proportion.Method 2part part
whole whole
100 T$224.50 5
100 T 100 $1122.50 100
T$11.225 $11.235
100T
$224.50Think
$11.23 is close to the estimate of $11.1.48206-2_428-429 10/7/07 12:14 PM Page 428