A bill at a resturant came to $95.75. There is 7.5% sales tax added on. You want to leave a 20% tip to the total bill, after tax. How much money will you need to leave for the bill altogether?
Since the tip is after tax, we have:
Total Bill = Pre-tax Bill * (1 + Sales Tax Percent) * (1 + Tip Percent)
Total Bill = $95.75 * (1 + 0.07) * (1 + 0.2)
Total Bill = $95.75 * 1.07 * 1.2
Total Bill = $122.94
Since the tip is after tax, we have:
Total Bill = Pre-tax Bill * (1 + Sales Tax Percent) * (1 + Tip Percent)
Total Bill = $95.75 * (1 + 0.07) * (1 + 0.2)
Total Bill = $95.75 * 1.07 * 1.2
Total Bill = $122.94