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Greg lives in a state with 8% sales tax and has $20. Select prices of items he can buy:

a. $9.50
b. $10.00
c. $11.00
d. $12.50

1 Answer

2 votes

Final answer:

After calculating the sales tax for each item, it's clear that Greg can afford to buy any of the listed items a ($9.50), b ($10.00), c ($11.00), or d ($12.50) since all of them stay within the $20 budget once the 8% sales tax is added.

Step-by-step explanation:

To determine which items Greg can buy with his $20 budget, including a 8% sales tax, we'll calculate the total cost of each item with tax. Sales tax is calculated by converting the percentage to a decimal and multiplying it by the item price. Here's how we do it:

  • Convert the sales tax from a percentage to a decimal by dividing by 100; 8% becomes 0.08.
  • Multiply the item's price by 1.08 (the price plus the sales tax).
  • If this total falls at or below $20, Greg can afford the item.

Let's run through each item:

  1. Item a ($9.50): $9.50 * 1.08 = $10.26
  2. Item b ($10.00): $10.00 * 1.08 = $10.80
  3. Item c ($11.00): $11.00 * 1.08 = $11.88
  4. Item d ($12.50): $12.50 * 1.08 = $13.50

All listed items result in a total cost less than $20 after tax, so Greg can afford to buy any of the items a, b, c, or d.

User Andrew Plummer
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