Question

A couple does not wish to spend more than $60 for dinner at a restaurant. if a sales tax of 7% is added to the bill and they plan to tip 15% after the tax has been added, what is the most they can spend for the meal? (round your answer to the nearest cent.)

Answer 1

Hey there!

The first step of this problem would be to add together our two percentages, then convert that percentage into a decimal by dividing by 100. 

15% + 7% = 22%

22 ÷ 100 = 0.22

It can be assumed here that 22% of the cost will be added tax and tip. We can use 0.22 to represent that percentage in our problem. Just multiply that decimal by the maximum amount of money they want to spend, $60, to get the amount that will just be tax and tip. Finally, subtract the tax and tip from $60 to find the most they can spend on the meal itself. 

60 × 0.22 = 13.20

60 – 13.20 = 46.80

The total amount they can spend is 46.80. 

Hope this helped you out! :-)