Question

A pack of cinnamon-scented pencils sells for$4.00. What is the sales tax rate if the total cost of the pencils is $4.12?

Answer 1

0.03 or 3 per cent

Explanation:

When the price is $4 and the pencils cost $4.12, the difference is the tax.

Thus, the amount of tax is 4.12 - 4 = 0.12

In order to calculate the tax rate, we must find how much this amount play role in the price of the product.

`(0.12)/(4)=0.03`

The tax rate is 0.03 or 3%