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welcome to math with mr j
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in this video i'm going to cover how to
calculate sales tax and then the final
price with that tax included let's jump
into our examples and see exactly how we
do this starting with number one where
we have a price of 75 dollars and then a
sales tax rate of 8 percent now i do
want to mention that sales tax rates
vary by country and state and then there
can be local taxes that are included as
well this video does not cover a
specific location sales tax these are
general numbers being used to show how
to calculate sales tax so the first
thing that we want to do is to calculate
how much sales tax we will be paying we
do this by multiplying the price
by the tax rate the tax rate is going to
be in the form of a percent
we want to get this percent to decimal
form percent means per 100 so we divide
the percent by 100 to convert it to a
decimal we can do this by simply moving
the decimal twice to the left so percent
to decimal move the decimal twice to the
left that gives us a decimal equivalent
to the percent so for number one we have
eight percent let's move that decimal
twice to the left i'm going to rewrite
eight percent underneath here so i have
enough room
now for a whole number the decimal comes
after a whole number so it's right here
for 8 percent
once
twice to the left
so we have
0.08
for decimal form there so we need to
take our original price of 75
75 here
and multiply that
by
0.08
now if you are using a calculator with a
percent button you can also do
75
times
8 percent so you can leave it in percent
form just make sure you hit that percent
button do not do 75 times eight so
either one of those will give us the
correct answer as far as how much we are
paying in sales tax so 75 times .08
that's going to give us
six dollars
now 75 times eight percent that gives us
the same
answer
of six dollars so that's how much we are
going to pay in tax so once we have that
information we take our original price
and add that sales tax to give us our
final price make sure you add that sales
tax so we have i'll write this out by
hand we have 75 dollars
plus
six dollars
so that's going to give us a total price
with tax included of 81
dollars
let's move on to number two where we
have 349.99
for our price and then a sales tax rate
of
6.75
let's convert that sales tax rate to a
decimal move the decimal twice to the
left so i'm going to rewrite this
underneath here so we have enough room
and move it once
twice
so we have
.0675
for our decimal so let's multiply that
by our original price of 349.
and 99 cents
decimal form of .0675
now we can also do this using the
percent button on a calculator so i'll
write that out just to be clear here
so we can do 349.99
times
6.75
percent
and these are both going to give us the
correct answer of
now for this one we get
a fairly long decimal so 6
2
4
3
2
5.
i'll write that out for both here
now we are working with money so money
always goes to the hundredths place so
if you get a long decimal like this we
round to the hundredths place so this
two here in the hundredths look next
door and we stay the same so this is
going to round to
let me rewrite it underneath
23.
and 62 cents so that's going to be how
much we are going to pay in sales tax
once we have that information we add it
to our original price
i'll write this out so we have 304
dollars
and 99 cents
plus
23 dollars
and 62 cents
let's add here
9 plus 2 is 11
1 plus 9 is 10 plus 6 is 16 bring our
decimal straight down
1 plus 9 is 10 plus 3
is 13
1 plus 4 is 5
plus 2 is 7
and then we have a 3 in the hundreds
place
so our final price with sales tax
included is going to be
373
and 61 cents
so there you have it there's how you
calculate sales tax take that original
price and multiply it by the tax rate
either in decimal form or use the
percent button on a calculator that's
going to give you how much you're going
to pay in sales tax once you have that
information you take the original price
and add that sales tax
to get the final price
i hope that helped
thanks so much for watching
until next time
peace
you
