Question

Finn goes to the store and buys a bike for $70. The store has a sales tax rate of 8% How much tax will Finn have to pay?

Answer 1

Given:

a.) Finn goes to the store and buys a bike for $70.

b.) The store has a sales tax rate of 8%.

To be able to determine the amount that Finn will pay, we will be using the following equation:

$\text{Tax = Price of bike x }\frac{\text{ Tax rate}}{100}$

We get,

$\text{Tax = Price of bike x }\frac{\text{ Tax rate}}{100}$$\text{ = \ 70 x }\frac{8}{100}$$\text{ = \ 70 x }0.08$$\text{= \ 5.60}$

Therefore, Finn will be paying $5.60 for the sales tax of buying a $70 bike.