suppose that the local sales tax rate is 4% and you purchase a car for $20,000. a. how much tax is paid? b…

suppose that the local sales tax rate is 4% and you purchase a car for $20,000. a. how much tax is paid? b. what is the cars total cost? a. the amount of tax paid is $□.

suppose that the local sales tax rate is 4% and you purchase a car for $20,000. a. how much tax is paid? b. what is the cars total cost? a. the amount of tax paid is $□.

Answer

Explanation:

Step1: Calculate tax amount

Tax amount = Purchase price × Tax rate. The purchase price of the car is $20000$ and the tax rate is $4%=0.04$. So, the tax amount is $20000\times0.04$. $20000\times0.04 = 800$

Step2: Calculate total cost

Total cost = Purchase price+ Tax amount. The purchase price is $20000$ and the tax amount is $800$. So, the total cost is $20000 + 800$. $20000+800=20800$

Answer:

a. $800$ b. $20800$