Service charge for Julia at a beauty salon = $72.60 The rate of sales tax taken = 8% Percentage of tips she added to the service charge before sales tax = 20% Then amount of tips given by Julia = (20/100) * 72.60 = (1/5) * 72.60 = 14.52 dollars Then the amount in total paid by Julia before adding service tax = (72.60 + 14.52) dollars = 87.12 dollars Now the sales tax of 8% has to be calculated on the amount of $87.12. Then Amount of sales tax given by Julia = (8/100) * 87.12 = 696.96/100 = 6.969 = 6.97 dollars So the total amount paid by Julia for the service at the salon = (87.12 + 6.97) dollars = 94.07 dollars Julia paid a total of $94.07 for the service she received at the salon.
If Mike is willing to pay no more than an effective rate of 8.000% annually, the loans that meet his criteria are loan X and loan Z. Of those two, the lowest would be loan X. I hope the answer will help you :)
