Luke bought four refrigerators that cost $287 each before Goods and Service Tax (GST).
- Given that GST was charged at 6%, how much GST did Luke have to pay for one refrigerator?
- What was the total cost of the refrigerators, inclusive of GST?
(a)
GST that Luke had to pay for one refrigerator
= 6% x 287
=
6100 x 287
= $17.22
(b)
Cost of one refrigerator inclusive of GST
= 287 + 17.22
= $304.22
Cost of four refrigerators inclusive of GST
= 4 x 304.22
= $1216.88
Answer(s): (a) $17.22; (b) $1216.88