math
posted by Taylor
a bus ticket is $40 plus 5% tax.

Ms. Sue
40 * 1.05 =

Taylor
how did you get 1.05

John
Ok, 5% = 5/100.
Thus, 5% tax is equal to 0.05.
The tax is equal to 0.05 * (the before tax cost = 40). Then, you add the price of the ticket back.
You can take a shortcut by doing 100% + 5% = 105% * 40 = 1.05 * 40 = ? 
Ms. Sue
100 = 100%
0.05 = 5%
You could do the same problem by first taking 5% of 40, and then adding the product to 40.
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