Question

A store pays $10 for a blanket, and the markup is 115%. A customer will also pay a 5 1/2% sales tax. What will be the total cost of the bracelet to the nearest cent?

Answer 1

Firstly, we need to find the price of the blanket/bracelet after the 115% increase.
$10 x 1.15 = $15.20

Now for the 5.5% sales tax, which is applied the the new value of $15.20
$15.20 x 0.055 = 0.83
$15.20 + $0.83 = $16.03

The final cost for the blanket/bracelet is %16.03