Question

If the the price of a pair of shoes is 35$ before tax and the tax is 20% what will the final price of the shoes be

Answer 1

42$

Explanation:

tax increase will be

20% of 35$

= 20/100 × 35

= 7$

Final price = Old price + Tax

= 35 + 7

= 42$

Answer 2

$42

Explanation:

You want the price with tax of a $35 pair of shoes subject to a 20% tax.

Price with tax

The tax is the cost of the shoes multiplied by the tax rate. The final price is the sum of the cost of the shoes and the tax:

final price = price + price × tax rate

final price = price × (1 + tax rate) = $35 × 1.20 = $42

The final price of the shoes is $42.