Asher bought five kettles that cost $301 each before Goods and Service Tax (GST).
- Given that GST was charged at 5%, how much GST did Asher have to pay for one kettle?
- What was the total cost of the kettles, inclusive of GST?
(a)
GST that Asher had to pay for one kettle
= 5% x 301
=
5100 x 301
= $15.05
(b)
Cost of one kettle inclusive of GST
= 301 + 15.05
= $316.05
Cost of five kettles inclusive of GST
= 5 x 316.05
= $1580.25
Answer(s): (a) $15.05; (b) $1580.25