Question

You buy a watch for $60. a. There is a 6% sales tax. What is your total cost for the watch? b. Your friend buys the same watch a month later. It is now sold at a discount of 15%. What is the new sale price? c. What is your friend's total cost for the watch including tax? Original Price Percent of Discount Sale Price is? D. what is the percent of change in the total cost?

Answer 1

a. The sales tax is 6% of the original price of $60, which is:

0.06 x $60 = $3.60

So the total cost of the watch including tax is:

$60 + $3.60 = $63.60

b. The discount is 15% of the original price of $60, which is:

0.15 x $60 = $9

So the sale price of the watch is:

$60 - $9 = $51

c. To find the total cost of the watch including tax, we need to calculate the sales tax on the discounted price of $51:

0.06 x $51 = $3.06

So the total cost of the watch for your friend is:

$51 + $3.06 = $54.06

d. The percent change in the total cost can be calculated using the formula:

percent change = (new value - old value) / old value x 100%

For you, the old value was $60 and the new value (including tax) was $63.60. So the percent change is:

(percent change) = ($63.60 - $60) / $60 x 100% ≈ 6%

For your friend, the old value was $60 and the new value (including tax and discount) was $54.06. So the percent change is:

(percent change) = ($54.06 - $60) / $60 x 100% ≈ -9% (note that this is a decrease, since the new value is less than the old value)