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$235.73
The 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 1
Write and solve an equation.
T5% of $224.50.
T5% $224.50
T$11.225 $11.23
The sales tax is $11.23.
Write and solve a proportion.
Method 2
part part
whole whole
100 T$224.50 5
100 T 100 $1122.50 100
T$11.225 $11.23
5
100
T
$224.50
Think
$11.23 is close to the estimate of $11.
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