Question

A store offers a 15% discount on a freezer chest that was originally priced at $630. If the sales tax rate is 7.8%, how much must you pay to buy the freezer chest?

Answer 1

$577.27

Explanation:

When offered 15% discount, buyer will then pay 100-15=85% of the original price hence the price offered by seller will be

0.85*$630=$535.5

Now this price is subjected to a tax of 7.8%, equivalent to 0.078 hence the buyer pays 1.078 of $535.5

1.078*$535.5=$577.269

Rounded off, this is equivalent to $577.27