Question

Sam goes online to buy a new cell phone. He finds a site that offers a 20% discount on all orders over $200. Sam's cell phone is priced at $400. He pays 6.5% sales tax on the discounted price and a shipping fee of $5.25. What is the total of Sam's online purchase?

A) $400.00
B) $352.25
C) $346.05
D) $325.66

Answer 1

The total cost of Sam's online purchase, including the discounted price of the cell phone, sales tax, and shipping fee, is $346.05.

Step-by-step explanation:

To find the total cost of Sam's online purchase, we need to go through the steps:

1. First, determine the discounted price of Sam's cell phone. Since there is a 20% discount on orders over $200, the discounted price of the cell phone is 80% of $400, which is $320.
2. Next, calculate the sales tax on the discounted price. Sam pays 6.5% sales tax, so the sales tax amount is 6.5% of $320, which is $20.80.
3. Lastly, add the discounted price, sales tax, and shipping fee ($320 + $20.80 + $5.25) to determine the total cost of Sam's online purchase. This comes out to be $346.05.