Steply

A meal costs $45. The sales tax is 8%. What is the total cost?

Step by step, with the reason for every step · Percents and money · Foundations

Step by step

The question

Question: A meal costs $45.

The sales tax is 8%.

What is the total cost?

1 Find the tax

Percent means out of 100.

So 8% is 8 divided by 100: 0.08.

The point moves 2 places to the left.

8% = 8 ÷ 100 = 0.08

The tax is 8% of $45.

"Of" means times: 0.08 times $45.

That is $3.60.

tax = 0.08 × $45 = $3.60

To multiply decimals: first 8 times 45, as whole numbers.

That is 360.

Then count the decimal places: 2.

So it is 3.60.

8 × 45 = 360
2 decimal places: 3.60

Careful!

8% is not $8.

It is 8% of the price.

Careful: not $45 + $8 = $53 ✗

2 Add it on

The tax is added to the price.

$45 plus $3.60 is $48.60.

total = $45 + $3.60 = $48.60

So the total is $48.60.

3 Check

Let's check another way: we pay 100% plus 8%: 108% of the price.

1.08 times $45 is $48.60.

The same.

So the answer is right!

100% + 8% = 108%: 1.08 × $45 = $48.60

Let's look back.

First: find the tax.

Then: add it on.

Last: check.

Answer
total = $45 + $3.60 = $48.60

Your turn

Try this one yourself, then check:

Show the answer
total: $51.45

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