Question

A camera has a listed price of $778.95 before tax. If the sales tax rate is 9.75%, find the total cost of the camera with sales tax included.

Round your answer to the nearest cent, as necessary.

Answer 1

$854.90

Explanation:

List Price Before Tax = $778.95

Sales Tax Rate = 9.75% = 0.0975

Total Cost of the Camera = ?

Sales Tax = List Price Before Tax x Sales Tax Rate

Sales Tax = $778.95 x 9.75%

Sales Tax = $75.9476

or

Sales Tax = $75.95

Now add the Sales Tax in List Price Before Tax, to compute the Total Cost of the Camera, as follows;

Total Cost of the Camera = Sales Tax + List Price Before Tax

Total Cost of the Camera = $75.95 + $778.95

Total Cost of the Camera = $854.90