A shopper bought the following items: Shirt $14.95, Pants $22.87, Tie $33.35. How much tax will they have to pay if the tax rate is 7.25%?

Rationale

$5.16

To calculate the tax, first determine the total cost of the items. The sum of the shirt, pants, and tie is $14.95 + $22.87 + $33.35 = $71.17. Applying the 7.25% tax rate results in a tax amount of $71.17 * 0.0725 = $5.16.

A ($5.16) CORRECT

This choice correctly represents the calculated tax amount based on the total cost of the items at the specified tax rate. The calculation shows that the shopper would indeed pay $5.16 in tax.

B ($7.18) YOUR ANSWER

This option overestimates the tax amount. If you divide $7.18 by the tax rate of 7.25%, it would imply a total purchase amount of approximately $98.97, which is incorrect based on the provided item prices.

C ($3.55) YOUR ANSWER

This choice underestimates the tax amount. A tax of $3.55 would suggest a total purchase price of about $49.00, which is significantly lower than the actual total of $71.17.

D ($51.59) YOUR ANSWER

This option misrepresents the tax amount entirely, as it suggests a tax figure exceeding the total cost of the items themselves. It confuses tax with total cost, as no tax could be higher than the total purchase amount.

Conclusion

Calculating tax requires accurate determination of the total purchase amount and application of the appropriate tax rate. In this case, the total cost of $71.17 multiplied by the tax rate of 7.25% results in a tax amount of $5.16, affirming that this is the correct answer. The incorrect options either miscalculate the tax based on false assumptions about the total cost or misinterpret the tax figure entirely.

A shopper bought the following items: Shirt $14.95, Pants $22.87, Tie $33.35. How much tax will they have to pay if the tax rate is 7.25%?

$5.16

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