Question

The sales tax rate (state and local) is 9.5%. What would the total be, including sales taxes, for an item with a price tag of $9.78?

Option 1: $10.70
Option 2: $10.67
Option 3: $9.55
Option 4: $9.78

Answer 1

The total amount, including sales tax, for an item with a price tag of $9.78 and a sales tax rate of 9.5% is $10.71.

Step-by-step explanation:

To find the total amount, including sales tax for an item with a price tag of $9.78 and a sales tax rate of 9.5%, we need to calculate the amount of sales tax and then add it to the original price.

To calculate the amount of sales tax, we first need to convert the sales tax rate to a decimal. Divide the percentage value by 100, giving us 0.095. Then, multiply this decimal by the original price of $9.78: 0.095 x $9.78 = $0.93 (rounded to the nearest cent).

Finally, we add the sales tax to the original price to find the total amount: $9.78 + $0.93 = $10.71.

Therefore, option 1: $10.70 is the closest value to the total amount including sales tax for an item with a price tag of $9.78 and a sales tax rate of 9.5%.