Question

Suppose that the local sales tax rate is 6.25% and you purchased a used car for $16,800. How much tax is paid ?

Answer 1

$ 1050 would be paid on tax.

Explanation:

Given,

The value of the car = $ 16,800,

Sales tax percentage = 6.25%

Thus, the amount of tax paid on the car = 6.25% of the value of the car

= 6.25% of 16,800

`=(6.25* 16800)/(100)`

`=(105000)/(100)`

`=\$ 1050`