Kito makes an online purchase of a guitar case for [tex]\$ 39.99[/tex], a tuner for [tex]\$ 24.99[/tex], and picks for [tex]\$ 26.99[/tex]. Taxes are [tex]6\%[/tex] of the total purchase price. Shipping charges are based on the following table:
\begin{tabular}{|c|c|c|}
\hline Amount of Purchase & Standard Shipping & Express Shipping \\
\hline up to [tex]\$ 50[/tex] & [tex]\[tex]$ 5.10[/tex] & [tex]\$[/tex] 7.00[/tex] \\
\hline [tex]\$ 50[/tex] up to [tex]\$ 100[/tex] & [tex]\$ 6.35[/tex] & [tex]\$ 8.20[/tex] \\
\hline [tex]\[tex]$ 100[/tex] up to [tex]\$[/tex] 200[/tex] & [tex]\$ 7.80[/tex] & [tex]\$ 11.60[/tex] \\
\hline [tex]\$ 200[/tex] and over & [tex]\$ 10.50[/tex] & [tex]\$ 16.45[/tex] \\
\hline
\end{tabular}

Kito selects express shipping, and the company bills his credit card [tex]\$ 105.69[/tex] for the total of the online purchase. Determine if Kito has been billed correctly for his purchase.

A. Kito has been billed correctly.
B. Kito has not been charged enough for his purchase.
C. Kito has been overcharged by [tex]\[tex]$ 1.85[/tex] for his purchase.
D. Kito has been overcharged by [tex]\$[/tex] 3.40[/tex] for his purchase.

Please select the best answer from the choices provided.



Answer :

Let's break down the problem step by step to determine if Kito has been billed correctly for his purchase.

1. Calculate the Total Purchase Price before Tax:

Kito buys:
- Guitar case: \[tex]$39.99 - Tuner: \$[/tex]24.99
- Picks: \[tex]$26.99 Total purchase price before tax: \[ \text{Total purchase price} = \$[/tex]39.99 + \[tex]$24.99 + \$[/tex]26.99 = \[tex]$91.97 \] 2. Calculate the Tax Amount: Tax rate is \(6\%\) of the total purchase price. \[ \text{Tax amount} = 0.06 \times \$[/tex]91.97 = \[tex]$5.5182 \] 3. Calculate the Total Purchase Price including Tax: \[ \text{Total price including tax} = \$[/tex]91.97 + \[tex]$5.5182 = \$[/tex]97.4882
\]

4. Determine the Shipping Cost:

Since Kito selects express shipping and his total purchase price including tax is \[tex]$97.4882: - From the table, for express shipping in the range \$[/tex]50 up to \[tex]$100, the shipping cost is \$[/tex]8.20.
[tex]\[ \text{Shipping cost} = \$8.20 \][/tex]

5. Calculate the Final Total Amount:

[tex]\[ \text{Final total amount} = \$97.4882 + \$8.20 = \$105.6882 \][/tex]

Rounding appropriately, the final total amount is \[tex]$105.69. 6. Compare with the Billed Amount: The billed amount by the company is \$[/tex]105.69.

- Since the final total amount calculated [tex]\( \$105.69 \)[/tex] matches the billed amount [tex]\( \$105.69 \)[/tex],

Kito has been billed correctly.

Therefore, the best answer is:
a. Kito has been billed correctly.