Sales Tax Calculation Concepts

The video tutorial explains the concept of sales tax, including its definition, components, and how it affects the total cost of goods. It provides four examples to illustrate how to calculate the total cost of items with sales tax, determine the sales tax rate, and find the original price of items. The video concludes with a call to action for viewers to subscribe and share.

What is a sales tax?

• A discount on goods and services

• A fee for using public services

• A voluntary donation to the government

• A compulsory financial contribution imposed by the government

How is the sales tax rate expressed?

• As a fixed amount

• As a discount percentage

• As a flat fee

• As a percentage of the original price

If a mobile phone costs $12,575 and the sales tax rate is 8%, what is the total cost?

• $13,581

• $14,000

• $13,500

• $13,000

What is the formula to calculate sales tax?

• Sales tax rate divided by original price

• Original price plus sales tax rate

• Sales tax rate times original price

• Original price minus sales tax rate

If the price of a book before tax is $3,360 and after tax is $4,320, what is the sales tax rate?

• 15%

• 12%

• 20%

• 10%

How do you calculate the sales tax rate from the price before and after tax?

• Add the price before tax to the price after tax

• Multiply the price before tax by the price after tax

• Subtract the price before tax from the price after tax, divide by the original price, and multiply by 100

• Divide the price after tax by the price before tax

If a laptop has a sales tax amount of $3,109.30 and a tax rate of 8.5%, what was the original price?

• $35,000

• $37,000

• $36,580

• $38,000

What is the formula to find the original price from the sales tax amount and rate?

• Sales tax amount plus sales tax rate

• Sales tax amount minus sales tax rate

• Sales tax amount divided by sales tax rate

• Sales tax amount times sales tax rate

If a pair of shoes costs $392.20 after a 9% tax rate, what was the original price?

• $350

• $3,580

• $3,900

• $4,000

How do you calculate the original price from the total price and tax rate?

• Multiply the total price by the sales tax rate

• Subtract the sales tax rate from the total price

• Add the sales tax rate to the total price

• Divide the total price by 100 plus the sales tax rate