Vera orders some prints of photos that she uploaded to her computer. She orders 3 of the 5 x 7 prints for $0.89 each, 12 of the 4 x 6 prints for $0.15 each and 1 of the 8 x 10 prints for $2.99. She also orders a photo album for $8.69. Vera pays taxes that are 7% of the total purchase price. Her shipping charges are based on the following table:

Amount of Purchase
Standard Shipping
Express Shipping
up to $20
free
$3.50
$50 up to $100
$6.35
$8.20
$100 up to $200
$7.80
$11.60
$200 and over
$10.50
$16.45
Vera selects standard shipping and the company bills her credit card $20.78 for the total of the online purchase. Determine if Vera has been billed correctly for her purchase.
a.
Vera has been billed correctly.
b.
Vera has not been charged enough for her purchase.
c.
Vera has been over charged by $1.13 for her purchase.
d.
Vera has been over charged by $3.50 for her purchase.

1 answer

To determine whether Vera has been billed correctly, we need to calculate her total purchase cost, including the cost of prints, the photo album, taxes, and shipping.

  1. Calculate the cost of prints:

    • 3 of the 5 x 7 prints at $0.89 each: \( 3 \times 0.89 = 2.67 \)

    • 12 of the 4 x 6 prints at $0.15 each: \( 12 \times 0.15 = 1.80 \)

    • 1 of the 8 x 10 prints at $2.99: \( 1 \times 2.99 = 2.99 \)

    • Total cost of prints: \( 2.67 + 1.80 + 2.99 = 7.46 \)

  2. Add the cost of the photo album:

    • Photo album: $8.69

    • Total cost before taxes and shipping: \( 7.46 + 8.69 = 16.15 \)

  3. Calculate sales tax (7%):

    • Tax: \( 0.07 \times 16.15 = 1.13 \)

    • Total cost with taxes: \( 16.15 + 1.13 = 17.28 \)

  4. Determine shipping cost based on the total:

    • The total purchase amount before shipping is $17.28, which falls under the category "up to $20," so the shipping charge is free.
  5. Total cost to Vera:

    • Total cost (after tax and shipping): \( 17.28 + 0 = 17.28 \)

Vera is billed $20.78, while her calculated total amount due is $17.28.

  1. Calculate the difference:
    • Difference: \( 20.78 - 17.28 = 3.50 \)

Vera has been overcharged by $3.50.

The correct answer is: d. Vera has been over charged by $3.50 for her purchase.