Question

Jim tells you he paid a total of $23,078.90 for a car, and you would like to know the price of the car before sales tax so that you can compare the price of that model of car at various dealers. Find the price of the car before sales tax if Jim bought the car in each of the following states:

a. Arizona, where the sales tax is 6.6%.
b. New York, where the sales tax is 8.25%.
c. A state where the sales tax is ????%.

Answer 1

a. $21650

b. $21320

Explanation:

The total price of the car after-sale tax that is purchased by Jim is $23078.90.

a. In Arizona, here the sales tax is 6.6%.

So, if the before sale tax price if the car is $100 then its after-tax price is $106.6

Therefore, if the after-tax price is $23078.9 then its before-tax price will be
`(100*23078.9)/(106.6) =21650` dollars. (Answer)

b. In New York, here the sales tax is 8.25%.

So, if the before sale tax price if the car is $100 then its after-tax price is $108.25

Therefore, if the after-tax price is $23078.9 then its before-tax price will be
`(100*23078.9)/(108.25) =21320` dollars. (Answer)