Archie bought five speakers that cost $188 each before Goods and Service Tax (GST).
- Given that GST was charged at 9%, how much GST did Archie have to pay for one speaker?
- What was the total cost of the speakers, inclusive of GST?
(a)
GST that Archie had to pay for one speaker
= 9% x 188
=
9100 x 188
= $16.92
(b)
Cost of one speaker inclusive of GST
= 188 + 16.92
= $204.92
Cost of five speakers inclusive of GST
= 5 x 204.92
= $1024.6
Answer(s): (a) $16.92; (b) $1024.6