Post a New Question


posted by on .

A house is being renovated for $50,000. Right now the HST is 12% and is charged on all renovations. After April the HST will be gone and be replaced with PST of 7% and the GST of 6%. Renovations will only have to charge GST. How much money will the homeowner save if they wait until April to get the renovations done?

Help me please, My teacher gave me no notes or examples on this, this assignment is already due please help, i posted this question yesterday and noone helped. please help me!!!!!!!!!

  • Math - ,

    right now tax is .12(50000) = 6000

    after april
    PST= .07(50000) = 3500
    GST = .06(50000) = 3000
    new tax is 6500

    so savings is 6500-600 = 500

    What I had suggested in the earlier post is to simply take the difference in the percents
    12% vs (6+7)%
    that difference is 1%
    and 1% of 50000 = 500

    Canadian , eh?

  • correction -Math - ,

    my answer is wrong, I did not read the question carefully enough

    after april they are charged only the GST
    which is .06(50000) = 3000

    so they would save $3000

Answer This Question

First Name:
School Subject:

Related Questions

More Related Questions

Post a New Question