Question

Matthew bought 4 new compact discs at $16.99 each and a carrying case for $35.89. He paid 2007-03-04-00-00_files/i0250000.jpg% sales tax on his purchases. If Matthew paid $112.42 total, determine if he paid the correct amount.
a.
Matthew paid $0.15 too little for his purchases.
b.
Matthew paid $0.16 too much for his purchases.
c.
Matthew paid $0.05 too much for his purchases.
d.
Matthew paid the correct amount for his purchases.

Answer 1

Compute the subtotal: 4 × $16.99 = $67.96; $67.96 + $35.89 = $103.85.

Sales tax: 8.25% of $103.85 = $103.85 × 0.0825 = $8.568… → $8.57 (to the cent).

Total = $103.85 + $8.57 = $112.42, which matches what Matthew paid.

Answer: d. Matthew paid the correct amount for his purchases.