Bailey is starving! It’s lunchtime and she wants to order some food and an iced coffee from Starbucks to be delivered through GrubHub. Bailey lives in a city where the total sales tax is 9% if the cost of her food and coffee is $21.25, how much tax will Bailey owe on her order? Including tax, what is the total cost of Starbucks for Bailey?

A: $26.00
B:$22.25
C:$24.24
D:$23.16

1 answer

To calculate the sales tax Bailey will owe and the total cost of her order, follow these steps:

  1. Calculate the Sales Tax: \[ \text{Sales Tax} = \text{Cost} \times \text{Sales Tax Rate} \] \[ \text{Sales Tax} = 21.25 \times 0.09 = 1.9125 \] Let's round that to \(1.91\) (typically to two decimal places for currency).

  2. Calculate the Total Cost Including Tax: \[ \text{Total Cost} = \text{Cost} + \text{Sales Tax} \] \[ \text{Total Cost} = 21.25 + 1.91 = 23.16 \]

Bailey's tax owed is approximately $1.91, and the total cost with tax is $23.16.

So, the correct option is D: $23.16.