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Calculating Sales Tax
   Financial Management
To calculate sales tax:
• Change the percent to a decimal
  example: 6.75% = .0675
 (Remember to drop the % and move the decimal 2 places to the
  left.)

• Multiply the purchase price by the decimal
• Round your answer to the nearest cent
Example
    Sue buys a CD that costs $16.99
    before sales tax. The sales tax is
    6.75%. How much tax does Sue pay?
•   Change 6.75% to a decimal (.0675)
•   Multiply $16.99 times .0675 (1.147)
•   Round to the nearest cent      1.15
•   Sue will pay $1.15 sales tax.
Your turn!

Guillermo buys a shirt for $24.50.
The sales tax is 6.25%. How much
sales tax does Guillermo pay?
6.25% =
$24.50 x      =
 Sales tax is
Let’s see how you did!
   = .0625

   = 1.531

Guillermo paid $1.53 sales tax.
Good job!
Practice makes perfect!
Try these:
1. Tax is 5.35%, purchase is $453.22
2. Tax is 6.05%, purchase is $36.98
3. Tax is 6.75%, purchase is $121.03
4. Tax is 4.15%, purchase is $1003.48
5. Tax is 6.12%, purchase is $56.99

      Answers: $24.25, $2.24, $8.17, $41.64, $3.49
Created by:

Genny Simpson

 03/06/2013

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Calculating sales tax

  • 1. Calculating Sales Tax Financial Management
  • 2. To calculate sales tax: • Change the percent to a decimal example: 6.75% = .0675 (Remember to drop the % and move the decimal 2 places to the left.) • Multiply the purchase price by the decimal • Round your answer to the nearest cent
  • 3. Example Sue buys a CD that costs $16.99 before sales tax. The sales tax is 6.75%. How much tax does Sue pay? • Change 6.75% to a decimal (.0675) • Multiply $16.99 times .0675 (1.147) • Round to the nearest cent 1.15 • Sue will pay $1.15 sales tax.
  • 4. Your turn! Guillermo buys a shirt for $24.50. The sales tax is 6.25%. How much sales tax does Guillermo pay? 6.25% = $24.50 x = Sales tax is
  • 5. Let’s see how you did! = .0625 = 1.531 Guillermo paid $1.53 sales tax. Good job!
  • 6. Practice makes perfect! Try these: 1. Tax is 5.35%, purchase is $453.22 2. Tax is 6.05%, purchase is $36.98 3. Tax is 6.75%, purchase is $121.03 4. Tax is 4.15%, purchase is $1003.48 5. Tax is 6.12%, purchase is $56.99 Answers: $24.25, $2.24, $8.17, $41.64, $3.49