Question

Suppose there is a 15 % federal excise tax on indoor tanning services . How much do you pay , in dollars , in federal excise taxes for a $ 14 tanning session ?

Answer 1

If the excise tax rate is 15%.

For a tanning session of $14, We would pay 15% of that in federal excise taxes.

This amounts to;

`(15)/(100)*14=\text{ \$}2.1`