Question

A shirt priced at x dollars is discounted before tax is added. The final price in dollars is described by the expression below. 1.06(x - 0.4x) what is the sales tax for the shirt?

Answer 1

Answer: 6%

Explanation:

Given

Price of shirt is
`x` dollars

Shirt gets a discount and then a tax on purchase.

Final price is
`1.06(x-0.4x)`

In the above expression
`x-0.4x` represents the discount on the shirt which is equivalent to 40%.

The above expression is multiplied with 1.06, which indicates a sales tax of 6% as 6% can be written as 0.06.

Thus, the sales tax is 6%.