Question

You are shopping online for a new tv the one you want costs 25000 you live in new york where the state sales tax rate is 8.49% your sister lives a short distance over the border in ct where the state sales tax is 6.35% if you have the tv shipped to her and you pick it up how much will you save

Answer 1

$53.50

Explanation:

Answer 2

535

Explanation:

Assuming that shipping is free and the retail price is same in both CT and New York states, then savings only results from the tax differences.

Tax differences

Given that New York tax is 8.49% while CT tax is 6.35% for the same item, then the tax differences will be 8.49%-6.35%=2.14%

To get the savings rhen it will be the product of the item lrice and percentage difference

Savings

Savings =25000*2.14%/100%=535

Therefore, the savings is 535