Seth bought five microwave ovens that cost $345 each before Goods and Service Tax (GST).
- Given that GST was charged at 7%, how much GST did Seth have to pay for one microwave oven?
- What was the total cost of the microwave ovens, inclusive of GST?
(a)
GST that Seth had to pay for one microwave oven
= 7% x 345
=
7100 x 345
= $24.15
(b)
Cost of one microwave oven inclusive of GST
= 345 + 24.15
= $369.15
Cost of five microwave ovens inclusive of GST
= 5 x 369.15
= $1845.75
Answer(s): (a) $24.15; (b) $1845.75