Question

Sales tax in Houston is 8.25%. What is the final cost of a $1,000 I-phone before the phone is activated?

a) $1082.50
b) $1083.25
c) $925.00
d) $825.00

Answer 1

The final cost of the $1,000 iPhone before activation is $1,082.50.

Step-by-step explanation:

To find the final cost of the iPhone before activation, we need to calculate the amount of sales tax. The sales tax rate in Houston is 8.25%. To calculate the tax amount, multiply $1,000 by 8.25% (or 0.0825). This gives us $82.50 in sales tax. Next, we add the sales tax to the original price of the iPhone: $1,000 + $82.50 = $1,082.50.Therefore, the final cost of the iPhone before activation is $1,082.50 (option a).