Question

How much would a consumer pay for a​ t-shirt with a list price of ​$22 if the purchase was made in a province with a pst rate of 8​%? assume that the pst is applied as a percent of the retail price. also assume that a gst of ​5% applies to this purchase.

Answer 1

To find the total cost of a t-shirt with a list price of $22 in a province with an 8% PST rate and a 5% GST rate, calculate the PST and GST separately and then add them to the list price.

Step-by-step explanation:

To find the total cost of the T-shirt with a list price of $22, we need to consider both the provincial sales tax (PST) and the Goods and Services Tax (GST). First, calculate the PST by multiplying the list price by the PST rate of 8%, which gives us $1.76. Then, add the PST to the list price to get the total before GST: $22 + $1.76 = $23.76.

Next, calculate the GST by multiplying the total before GST by the GST rate of 5%, which gives us $1.19. Finally, add the GST to the total before GST to find the final amount the consumer would pay: $23.76 + $1.19 = $24.95.