Brian W. answered • 09/20/19
Struggling Elementary Math Student Extraordinaire
The price of a used car that billy is buying is $5,000 . If he has to pay 8% in taxes , how much will he have to pay for the car including taxes
The price of a used car that billy is buying is $5,000 . If he has to pay 8% in taxes , how much will he have to pay for the car including taxes
Taxes are at 8%, which is to say 8 per cent or 8 per 100. This can be written as a decimal as 0.08. To find 8% of $5000, then, we multiply 5000 by 0.08 and then add that answer back to 5000 to find the total amount of the principal (5000) plus interest.
An easier way of calculating this, when ADDING percent to principal as in this case, is to multiply the base (5000) amount times 105%. This would be 1.05. You would get the same answer but save a step.
Try either method and see what you come up with for your final answer!
