Jesse buys his coworkers lunch from the local steakhouse. The food

Question

costs $105.79, and the sales tax rate is 9%. Jesse wants to leave a 20%
ip based on the pre-tax amount. How much will the total be, including tax
and tip?

Answer 1

To calculate the total amount Jesse will pay, we need to follow these steps:

1. Calculate the Sales Tax:

   • The cost of food is $105.79.
   • Sales tax is 9% of the cost. \[ \text{Sales Tax} = 105.79 \times 0.09 = 9.4771 \approx 9.48 \text{ (rounded to two decimal places)} \]

2. Calculate the Total Cost with Tax: \[ \text{Total Cost with Tax} = \text{Cost of Food} + \text{Sales Tax} \] \[ \text{Total Cost with Tax} = 105.79 + 9.48 = 115.27 \]

3. Calculate the Tip:

   • The tip is based on the pre-tax amount, which is $105.79.
   • The tip rate is 20%. \[ \text{Tip} = 105.79 \times 0.20 = 21.158 \approx 21.16 \text{ (rounded to two decimal places)} \]

4. Calculate the Total Amount including Tax and Tip: \[ \text{Total Amount} = \text{Total Cost with Tax} + \text{Tip} \] \[ \text{Total Amount} = 115.27 + 21.16 = 136.43 \]

Therefore, the total amount Jesse will pay, including tax and tip, is $136.43.