Question

Find the amount of tax and the tax rate. Round to two decimal places

Cost of item: $126
Selling price: $133.36
Tax amount: $
Tax rate:

Answer 1

Tax amount: $7.36

Tax rate: 5.84%

Explanation:

First, we have to find the tax amount by taking

$133.36 - $126 = $7.36

Tax amount: $7.36

To find the tax rate, we take

7.36 divided by 126, times 100 = 5.84%

Tax rate: 5.84%

So,

Tax amount: $7.36

Tax rate: 5.84%