Question

13. Suppose you live in a state that collects 18.2c excise tax on a gallonof gasoline. If you buy 18.5 gallons of gasoline, how much state excise taxis collected?a, $3.06b 83.37$2.99C

Answer 1

The excise tax on 1 gallon of gasoline = 18.2 cents

You will buy 18.5 gallons

We need to find the excise tax you should pay

At first let us change the cent to dollar

1 cent = 1/100 dollars

18.2 cents = 18.2 * 1/100 = 0.182 dollars

Now you will buy 18.5 gallons

You will pay = 18.5 * 0.182 = 3.367 Dollars

The state excise tax = $3.367

Round the number to the nearest cent, then it will be $3.37