Question

When a student sold an Xbox on eBay for $145, she was charged a two-part final value fee: 5.25% of the first $25 of the selling price plus 3.25% of the remainder of the selling price over $25. Find the fee to sell the Xbox on eBay. (Round your answer to the nearest cent.)

Answer 1

Selling Price = $145

Charge on first $25 is 5.25%
5.25% of $25 = $\frac{5.25}{100}*25= \frac{5.25}{4} = 1.3125$

Charge on rest is 3.25%
rest amount = $145 - $25 = $120
3.25% of $120 = $\frac{3.25}{100}*120=3.9$

$Total\ charge=1.3125+3.9=5.2125 =\boxed{5.21}$