Andrew and Kate have $30 to spend on dinner, tax, and gratuity at Mo’s Restaurant. Tax is 6%, and they will give a 15% tip on the total bill after taxes. Their dinner costs $21.00. Which statement correctly explains whether Andrew and Kate have enough money to pay their bill?

Question

Yes. They have enough to pay their bill: 30 dollars times 1.06 = 31 dollars and 80 cents and 31 dollars and 80 cents times 1.15 = 36 dollars and 57 cents.
Yes. They have enough to pay their bill: 21 dollars times 1.06 = 22 dollars and 26 cents and 22 dollars and 26 cents times 1.15 = 25 dollars and 60 cents.
No. They do not have enough to pay their bill: 30 dollars times 1.06 = 31 dollars and 80 cents and 31 dollars and 80 cents times 1.15 = 36 dollars and 57 cents.
No. They do not have enough to pay their bill: 21 dollars times 1.06 = 22 dollars and 26 cents and 22 dollars and 26 cents times 1.15 = 25 dollars and 60 cents.

Answer 1

To determine whether Andrew and Kate have enough money to pay their bill, we need to calculate the total cost of their dinner after including tax and gratuity.

1. Dinner Cost: $21.00

2. Tax: 6% of the dinner cost

   • Tax amount = $21.00 * 0.06 = $1.26
   • Total after tax = $21.00 + $1.26 = $22.26

3. Gratuity: 15% of the total after tax

   • Tip amount = $22.26 * 0.15 = $3.34
   • Total bill including tip = $22.26 + $3.34 = $25.60

Now we consider their budget:

• Andrew and Kate have $30.00.

Since $25.60 (the total bill) is less than $30.00 (the amount they have), they do have enough money to pay their bill.

The correct statement is: Yes. They have enough to pay their bill: 21 dollars times 1.06 = 22 dollars and 26 cents and 22 dollars and 26 cents times 1.15 = 25 dollars and 60 cents.