Question

1. chad purchased a pickup truck for his landscaping company for $31, 795. the company paid a sales tax of 2.8% of the purchase price. what was that amount? $890.26 $872.71 $31, 795.00 $30, 904.74

Explanation:

Step1: Convert percentage to decimal

To find the sales tax, we first convert the percentage \( 2.8\% \) to a decimal. We do this by dividing by 100, so \( 2.8\% = \frac{2.8}{100}=0.028 \).

Step2: Calculate the sales tax amount

The purchase price of the pickup truck is \( \$31,795 \). To find the sales tax amount, we multiply the purchase price by the decimal form of the tax rate. So the formula is \( \text{Sales Tax} = \text{Purchase Price} \times \text{Tax Rate} \). Substituting the values, we get \( 31795\times0.028 \).

Calculating \( 31795\times0.028 \):
\[

$$\begin{align*} 31795\times0.028&=(30000 + 1795)\times0.028\\ &=30000\times0.028+1795\times0.028\\ & = 840+50.26\\ &= 890.26 \end{align*}$$

\]
Wait, that's not correct. Wait, let's recalculate \( 31795\times0.028 \):

\( 31795\times0.028 = 31795\times\frac{28}{1000}=\frac{31795\times28}{1000} \)

\( 31795\times28 = 31795\times(20 + 8)=31795\times20+31795\times8 = 635900+254360 = 890260 \)

Then divide by 1000: \( \frac{890260}{1000}=890.26 \). Wait, but let's check again. Wait, maybe I made a mistake. Wait, \( 31795\times0.028 \):

\( 31795\times0.02 = 635.9 \)

\( 31795\times0.008 = 254.36 \)

Adding them together: \( 635.9+254.36 = 890.26 \). But wait, the options have \( \$872.71 \). Wait, maybe I misread the purchase price. Wait, the purchase price is \( \$31,795 \)? Wait, no, maybe it's \( \$31,175 \)? Wait, no, the problem says \( \$31,795 \). Wait, let's check the calculation again.

Wait, \( 31795\times0.028 \):

\( 31795\times0.028 = 31795\times28\div1000 \)

\( 31795\times28 \):

\( 31795\times28 \):

\( 31795\times20 = 635900 \)

\( 31795\times8 = 254360 \)

Sum: \( 635900 + 254360 = 890260 \)

Divide by 1000: \( 890.26 \). But the first option is \( \$890.26 \), but wait, maybe the purchase price is different? Wait, no, the problem says \( \$31,795 \). Wait, but let's check the options. Wait, maybe I made a mistake in the problem. Wait, wait, maybe the tax rate is 2.75%? No, the problem says 2.8%. Wait, or maybe the purchase price is \( \$31,175 \)? Wait, no, the problem says \( \$31,795 \). Wait, let's check the calculation again.

Wait, \( 31795\times0.028 \):

\( 31795\times0.028 = 31795\times28\times10^{- 3} \)

\( 31795\times28 = 890260 \)

\( 890260\times10^{-3}=890.26 \). So the sales tax amount is \( \$890.26 \).

Answer:

A. \$890.26