Question

A store in Hampton bought a leather chair for $494.47 and marked it up 100% from the original cost. Later on, Sally purchased the leather chair and paid Hampton sales tax of 5.5%. How much, including tax, did she pay for the leather chair?

$

Answer 1

Answer: The markup percentage of 100% means the store added an amount equal to the original cost of the chair to its price, so the selling price of the chair before tax was 494.47 * 2 = $989.94.

The sales tax is calculated as 5.5% of the selling price before tax, which is 5.5/100 * 989.94 = $54.45.

The total amount paid by Sally for the leather chair, including tax, is 989.94 + 54.45 = $1044.39.

Explanation: