SOLUTION: New York collects 6% state tax on all sales in the state. If Mindi's total sales bill was $2634.58 how much is the state tax amount? Ok I took $2634.58 and divided it by .94 and

Algebra ->  Percentage-and-ratio-word-problems -> SOLUTION: New York collects 6% state tax on all sales in the state. If Mindi's total sales bill was $2634.58 how much is the state tax amount? Ok I took $2634.58 and divided it by .94 and      Log On


   

Question 164848: New York collects 6% state tax on all sales in the state. If Mindi's total sales bill was $2634.58 how much is the state tax amount?
Ok I took $2634.58 and divided it by .94 and my answer was $2802.74 ..now i subtract that from the sales bill and my answer is $168.16 Please help me get this straight I am unsure.
Answer by MRperkins(300) About Me  (Show Source):
You can put this solution on YOUR website!
The best thing to do when you start a problem is ask yourself, "What am I trying to find?" In this case you are trying to find the state tax. Next we want to determine a formula for finding this. We know that:
Total bill=sales price +tax
We can use any letter for each of these but I am choosing to use
(B)ill=(S)ales price+(T)ax or B=S*T
we also know that:
(T)ax=(S)ales price*Tax Rate(.06)
2634.58=S%2BT
substitute using T=.06S
and you get:
2634.58=S%2B.06S
combine like terms and you get
2634.58=1.06S
Divide each side by 1.06 and you get:
S=2485.45
Remember that S=Sales price and we are trying to find how much tax was paid. So substitute 2485.45 in for S in the equation:
(T)ax=(S)ales price*Tax Rate(.06)
So:
T=2485.45*.06=$149.127 or $149.13
Now check your answer:
$2485.45+$149.13=$2634.577=$2634.58