Question

Ray Cupple bought a basic car costing $26,500.00, with options costing $725.00. There is a 6% sales tax in his state and a combined $50.00 license and registration fee. What was Ray's total cost?

A. $28,865.00
B. $28,911.50
C. $27,275.00
D. $28,908.50

Answer 1

D. $28908.5

Explanation:

We have been given that Ray Cupple bought a basic car costing $26,500.00, with options costing $725.00.

So the cost of car after options costing will be:
`\$26,500+\$725=\$27,225`.

Since there is a 6% sales tax in his state , so the cost of car after sales tax will be $27,225 plus 6% of $27,225.

`\text{Cost of the car after sales tax}=\$27,225+((6)/(100)* \$27,225)`

`\text{Cost of the car after sales tax}=\$27,225+(0.06* \$27,225)`

`\text{Cost of the car after sales tax}=\$27,225+\$1,633.50`

`\text{Cost of the car after sales tax}=\$28,858.50`

We are also told that there is a combined $50.00 license and registration fee, so the total cost of car will be $28,858.50 plus $50.

`\text{Total cost of the car}=\$28,858.50+\$50`

`\text{Total cost of the car}=\$28908.50`

Therefore, the total cost of the car is $28908.50 and option D is the correct choice.

Answer 2

Given:
cost: 26,500
option: 725
total 27,225
tax (27,225 * 6%) 1,633.50
total 28,858.50
license & reg. fee 50.00
total cost 28,908.50 Choice D.