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When calculating sales tax, you must _____.



multiply the sales tax percentage against the original cost of the purchase and then subtract it from that total


multiply the sales tax percentage against the original cost of the purchase and then add it to that total

Verified Answer :

Bakerboyt

Option B would be correct. You have to multiply them and then add them!

TomShelby

Answer:

multiply the sales tax percentage against the original cost of the purchase and then add it to that total

Explanation:

If you are a seller and need to add the sales tax you will do as follow:

before-tax sales price x ( 1+ sales tax rate) = after tax sales price

for example:

given  pre-tax sales price of 100 dollars and a tax rate of 7.25%

100 x ( 1 + 0.0725) = 107,25

if you a buyer and wants to know how much sales tax you piad you will do as follow:

\(\frac{nominal}{1+ tax-rate}\)

using the same value as before:

\(\frac{107.25}{1+ 0.0725} = 100\)

And now subtract to get the amoutn of taxes paid:

107,25 - 100 = 7.25

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