Find the amount of the sales tax and the total cost.
Cost of item $700 Tax rate 8%
To calculate the sales tax, you can multiply the cost of the item by the tax rate. Then, to find out the total cost of the item including tax, you add the sales tax to the item cost.
The cost of the item is $700, and the tax rate is 8% (expressed as a decimal, this is 0.08).
Sales tax = Cost of the item × Tax rate
Sales tax = $700 × 0.08
Sales tax = $56
Now, we add the sales tax to the original cost to find the total cost:
Total cost = Cost of the item + Sales tax
Total cost = $700 + $56
Total cost = $756
The amount of the sales tax is $56 and the total cost of the item including tax is $756.