Question

The tax rate as a percent, r, changed an item can be determined using the formula c/p-1=r, where C is the final cost of the item and P is the price of the item before tax Louis rewrite the equation to solve for the final cost of the item: c=p(1+r). What is the final cost of a $40 item after an 8% tax is applied

Answer 1

`c= 40(1+0.08) = 40*1.08= 43.2`

The final cost would be $43.2

Explanation:

For this case from the notation given we know that the final cost is given by C and the formula is:

`C= p(1+r)`

Where C is the final cost, p the price of the item before tax and r the tax on fraction. And for this case we want to find the final value with 8% of tax so we can do the following operation:

`c= 40(1+0.08) = 40*1.08= 43.2`

The final cost would be $43.2