Question

sam lives in Massachusetts and wants to buy a television that costs $2000. the sales tax in Maine is only 5% which is less than the 6.25% in Massachusetts. dave tells sam to just buy the television in Massachusetts. if gas costs $30 to get to maine who is correct. explain?

Answer 1

Sam should buy the television in Maine as it will be cheaper overall, even after accounting for the cost of gas to travel.

Step-by-step explanation:

Sam lives in Massachusetts and wants to buy a television that costs $2000. The sales tax in Maine is 5%, while Massachusetts has a sales tax of 6.25%. Dave tells Sam to just buy the television in Massachusetts. To determine who is correct, we need to compare the total cost of the television in both states.

In Maine, the sales tax on a $2000 television would be 5% of $2000, which is $100. Therefore, the total cost in Maine would be $2000 + $100 = $2100.

In Massachusetts, the sales tax on a $2000 television is 6.25% of $2000, which is $125. Therefore, the total cost in Massachusetts would be $2000 + $125 = $2125.

Considering the cost of gas, which is $30, it would be more cost-effective for Sam to buy the television in Maine, where the total cost would be $2100 + $30 = $2130. Thus, Dave is incorrect and Sam should buy the television in Maine.

Answer 2

2000(1.0625)dave vs sam 2000(1.05)+30
2125 dave vs. sam 2,100+30
2125 dave vs. sam 2130
dave is correct, because it costs five dollars less in massachusetts than in Maine