Question

Jesse bought his co-workers lunch from the local steakhouse. The food costs $105.79. Sales tax is 9%, and he wants to leave a 40% tip. What is his grand total? Round your answer to the nearest hundredth.

Answer 1

To calculate the grand total Jesse will be paying, we need to consider the cost of the food, the sales tax, and the tip.

1. **Calculate the sales tax:**
The sales tax is 9% of the food cost.
\[
\text{Sales Tax} = \text{Food Cost} \times \text{Sales Tax Rate} = 105.79 \times 0.09
\]
\[
\text{Sales Tax} = 9.4711
\]

2. **Calculate the total cost including sales tax:**
\[
\text{Total Cost with Tax} = \text{Food Cost} + \text{Sales Tax} = 105.79 + 9.4711
\]
\[
\text{Total Cost with Tax} = 115.2611
\]

3. **Calculate the tip:**
The tip is 40% of the total cost with tax.
\[
\text{Tip} = \text{Total Cost with Tax} \times \text{Tip Rate} = 115.2611 \times 0.40
\]
\[
\text{Tip} = 46.10444
\]

4. **Calculate the grand total:**
\[
\text{Grand Total} = \text{Total Cost with Tax} + \text{Tip} = 115.2611 + 46.10444
\]
\[
\text{Grand Total} = 161.36554
\]

5. **Round to the nearest hundredth:**
\[
\text{Grand Total (rounded)} = 161.37
\]

Thus, Jesse's grand total for lunch is **$161.37**.