Question

Alfredo Griffin lives in a state having a sales tax of 6%. Griffin crossed the state line into a state having a 3% tax rate to make a purchase in the amount of $562. If transportation to the next state cost Griffin $20, compute the gain/loss by purchasing in another state

Answer 1

He lost money

Explanation:

When travelling to the other state with the 20 commute and the 16.86 sales tax that makes 36.86

But if he stayed in his state the total would have been 33.72

so in total 36.86-33.72=3.14 lost by going to the other state