Question

Erica treated her sister to lunch while visiting her in Lowell. Their lunch cost $60, and the sales tax in Lowell is 5%. If Erica left a 20% tip on the $60, how much in total did she pay?

Answer 1

Erica payed a total of $75

Explanation:

Step 1: Determine total lunch cost

Total lunch cost=$60

Step 2: Calculate total sales tax

Total sales tax=tax rate×total lunch cost

where;

tax rate=5%

total lunch cost=$60

replacing;

Total sales tax=(5/100)×60=$3

Total sales tax=$3

Step 3: Cost of tip

Cost of tip=20% of 60=(20/100)×60=$12

Step 4: Total she payed

Total she payed=Cost of tip+total sales tax+total lunch cost

where;

Cost of tip=$12

total sales tax=$3

total lunch cost=$60

replacing;

Total she payed=(12+3+60)=$75

Erica payed a total of $75