What is the process to calculate the sales tax on a $2300 computer in a state with a 7% tax rate?
To calculate the sales tax on a $2300 computer in a state with a 7% tax rate, multiply the price of the computer by the tax rate.
Calculation of Sales Tax
To calculate the sales tax on a $2300 computer in a state with a 7% tax rate, you can follow these steps:
1. Convert the tax rate to a decimal by dividing it by 100:
7% = 7/100 = 0.07
2. Multiply the price of the computer by the tax rate:
$2300 * 0.07 = $161
3. Therefore, the sales tax on a $2300 computer in a state with a 7% tax rate is $161.
By following these steps, you can easily determine the amount of sales tax that applies to a purchase in a state with a specific tax rate. Understanding how sales tax is calculated can help consumers budget effectively when making purchases. It is important to consider sales tax when determining the total cost of an item before making a buying decision.