Question

Mike bought an MP3 player $150. The sales-tax rate was 8 percent. How much sales tax did he pay on the MP3 player?

Answer 1

Let the original price of MP3 players = x

Therefore, x + 8/100 x = $150

x + 8x/100 = $150

100x/100 + 8x/100 = $150

108x/100 = $150

x = 150 * 100/108

= $138.89

Answer 2

Given :

Mike bought an MP3 player $150. The sales-tax rate was 8 percent

To Find :

How much sales tax did he pay on the MP3 player?

Solution:

Let x be the cost price of MP3 player

Sales tax% = 8%

So, Cost including sales tax = $x+8\%x=x+0.08x=1.08x$

We are given that Mike bought an MP3 player $150

So, 1.08x=150

$x=\frac{150}{1.08}$

x=138.8

So, Sales tax = 150-138.8=11.2

Hence He paid Rs.11.2 as sales tax