Find the Sales Tax and Total Cost of an Item

question 15

Short Answer

Find the sales tax and total cost of an item that costs $159.95 if the tax rate is 5.5%.

---

Definitions:

Prime Cost

Direct materials plus direct labor costs.

Machine Hours

The total number of hours that machines are used or operated during a specific time period, often used as a basis for allocating manufacturing overhead.

Direct Labor Hour

A measure of the time spent by workers manufacturing a product or delivering a service.

Special Materials

Unique or unusual materials required for specific production processes or products, often implying additional cost or procurement effort.