multiply 564 x 16/116

Question

if total of an invoice is 564.00 dollars and tax is 16% what is the total  tax amount?  I dont understand how to multiply 564.00 by 16/116 and come up with answer of  77.79

Answer 1

the answer to your question is 77.27891034484

Answer 2

The total amount of the invoice is $564.00, which includes the tax. So 116% is equivalent to $564.00.

Therefore 100%=100×564/116=100×141/29=$486.21 to the nearest cent. This is the amount before tax is added. So the tax must be 564-486.21=$77.79.

This is the same as 564-100×564/116=564(1-100/116)=564×16/116=564×4/29=2256/29=$77.79, which confirms the answer you were given.