Brody had his computer repaired at Store A. His bill was: Initial Repair Cost = $1,200 Sales Tax of 6 percent = $72.00 Gratuity of 15 percent Explain how you would calculate the gratuity for the services provided.

1 answer

To calculate the gratuity for the services provided at Store A, follow these steps:

1. Determine the initial repair cost: $1,200.
2. Calculate the sales tax: Multiply the initial repair cost by the sales tax rate of 6 percent (expressed as a decimal): $1,200 * 0.06 = $72.00.
3. Calculate the total amount paid for the repair including sales tax: Initial Repair Cost + Sales Tax = $1,200 + $72.00 = $1,272.00.
4. Calculate the gratuity amount: Multiply the total amount paid (including sales tax) by the gratuity rate of 15 percent (expressed as a decimal): $1,272.00 * 0.15 = $190.80.

Therefore, the gratuity for the services provided at Store A is $190.80.