Given:
Greeting card cost before tax = $4
Discount = 15%
Sales tax = 5%
To find:
How much will the customer pay for the card?
Solution:
It is given that the cost of the greeting card before tax is $4.
After 15% discount, the cost of the greeting card is:
Cost of card after discount [tex]=4-\dfrac{15}{100}\times {4}[/tex]
[tex]=4-0.6[/tex]
[tex]=3.4[/tex]
The cost of card after 5% sales tax is:
Cost of card after tax [tex]=3.4+\dfrac{5}{100}\times 3.4[/tex]
[tex]=3.4+0.17[/tex]
[tex]=3.57[/tex]
Therefore, the customer will pay $3.57 for the greeting card.