Pierre bought five washing machines that cost $382 each before Goods and Service Tax (GST).
- Given that GST was charged at 6%, how much GST did Pierre have to pay for one washing machine?
- What was the total cost of the washing machines, inclusive of GST?
(a)
GST that Pierre had to pay for one washing machine
= 6% x 382
=
6100 x 382
= $22.92
(b)
Cost of one washing machine inclusive of GST
= 382 + 22.92
= $404.92
Cost of five washing machines inclusive of GST
= 5 x 404.92
= $2024.6
Answer(s): (a) $22.92; (b) $2024.6