Question

A coat was marked down by 60 percent from its original price of $99. Including an 8 percent sales tax, what is the final cost of the coat?
$39.60
$42.77
$59.40
$64.15

Answer 1

Given:

A coat was marked down by 60 percent from its original price of $99.

Rate of sales tax = 8%

To find:

The final cost of the coat after including tax.

Solution:

We have,

Original price = $99

Rate of marked down = 60%

Rate of sales tax = 8%

Marked price = Original price - 60% of original price.

$\text{Marked price}=99-\dfrac{60}{100}\times 99$

$\text{Marked price}=99-59.4$

$\text{Marked price}=39.6$

Now,

Final cost = Marked price + Sales tax

$\text{Final cost}=39.6+\dfrac{8}{100}\times 39.6$

$\text{Final cost}=39.6+3.168$

$\text{Final cost}=42.768$

$\text{Final cost}\approx \ 42.77$

Therefore, the correct option is B.