The Real Cost When you save to make

The Real Cost When you save to make a big purchase, be sure to consider the sales tax you will have to pay. Have you ever paid sales tax?

Lesson Objective Compute sales tax. Content Vocabulary sales tax A state or local tax on the selling price of an item or service you purchase, usually expressed as a percent.

Lesson Objective Calculate the total purchase price. Content Vocabulary sales receipt total purchase price total receipt salespurchase price The total purchase that shows the tax. A proof ofselling price plus the salesselling price of each item or service purchased, the total selling price of all items purchased, and sales tax, and the total purchase amount.

Lesson Objective Determine the unit price. Content Vocabulary unit pricing A technique that allows shoppers to compare the prices of various items.

Lesson Objective Find the best buy based on unit price. Content Vocabulary comparison shopping comparison pricing Comparing prices to find the best value.

Lesson Objective Calculate an item’s final price after using a coupon or receiving a rebate. Content Vocabulary coupons rebates coupons Discounts offered by manufacturers, given by manufacturers, stores, and service establishments in the form of tickets that are redeemed a refund. at the time of purchase.

Lesson Objective Find the dollar amount of the markdown. Content Vocabulary markdown rate The difference between the regular markdown expressed as a percent of the an item and its sale selling price ofregular selling price of the item. price, also known as a discount.

Lesson Objective Compute the sale price when the markdown rate is unknown. Content Vocabulary sale price The regular selling price of an item minus the discount or markdown of the price.

Summary Calculating Prices Making good purchase decisions requires calculating prices. Unit Price + Sales Tax – Coupons and Rebates – Total Purchase Price Helpful Calculating Formulas Sale Price + Sales Tax – Markdown – Total Purchase Price

1. Jacob Moran purchased a used car for $8, 430. The state tax rate is 5. 5% and the county tax is 1%. What is the total tax that Jacob paid? A. B. C. D. $84. 30 $463. 65 $547. 95 $1, 540. 90

2. Rocky Graves purchased 7 packages of golf balls for $12. 50 each, a box of tees for $3. 95, and a nine iron for $179. 99. He must pay state tax of 7%, county tax of 0. 5%, and city tax of 1. 3%. How much will he pay in taxes for his purchases? A. B. C. D. $23. 89 $25. 50 $27. 48 $27. 93

3. Susan Lilly decided to decorate her office. She purchased a lamp for $129. 99, a picture for $195. 50, and a pen and pencil tray for $19. 50. The state tax is 6. 5% and the city tax is 2. 5%. What is the total purchase price? A. B. C. D. $291. 38 $298. 41 $306. 54 $376. 04

4. ALGEBRA Joann Webb purchased an electric drill from the hardware store and gave the clerk a $50 bill. She received $11. 53 in change. If the sales tax rate was 7%, find the total selling price. A. B. C. D. $32. 95 $33. 21 $35. 95 $38. 47

5. Vince Tucker purchased 25 boxes of paper for $281. 58. Each box contained 10 reams. What is the unit price per ream rounded to the nearest tenth of a cent? A. B. C. D. $1. 13 $4. 36 $10. 45 $11. 26

6. Michelle Stahl needs to buy food for her dog. She can purchase a 10 lb. bag for $14. 58; a 25 lb. bag for $19. 50, or a 50 lb. bag for $28. 99. Which is the better buy? A. B. C. D. The 10 lb. bag The 25 lb. bag The 50 lb. bag The 10 lb. and the 25 lb. bag. They are equal.

7. Fu Nagasaki had a coupon for a $2. 00 off a package of bacon that was valid if he also purchased a dozen eggs. The regular price for the bacon was $3. 99 and the eggs were $1. 09. What is the final price? A. B. C. D. $1. 09 $2. 29 $2. 99 $3. 08

8. Builder’s Buy is having a sale on wood paneling. A sheet of paneling that usually sells for $23. 45 is on sale for $18. 50. What is the markdown? A. B. C. D. $4. 95 $5. 05 $5. 45 $5. 95

9. ALGEBRA Linda’s Jewelry Boutique marked down its crystal earrings 40%. The ad in the newspaper said, “Save $25 on Linda’s crystal earrings – this week only. What is the regular selling price of the earrings? A. B. C. D. $55. 75 $62. 50 $65. 50 $102. 50

10. The regular selling price of a pickup truck is $18, 540. The markdown rate is 18%. What is the sale price? A. B. C. D. $3, 337. 20 $13, 350. 90 $15, 202. 80 $15, 900. 50

End of Chapter 6 Cash Purchases