Here's a step-by-step solution to determine the final cost of a \[tex]$40 item after an 8% tax is applied using the formula provided.
Given:
- The price of the item before tax (p) = \$[/tex]40
- The tax rate (r) = 8%
First, we need to convert the tax rate from a percentage to a decimal:
[tex]\[ r = \frac{8}{100} = 0.08 \][/tex]
The formula to determine the final cost ([tex]\( c \)[/tex]) of the item after tax is applied can be written as:
[tex]\[ c = p \times (1 + r) \][/tex]
Now, we substitute the given values into the formula:
[tex]\[ c = 40 \times (1 + 0.08) \][/tex]
[tex]\[ c = 40 \times 1.08 \][/tex]
Next, we perform the multiplication:
[tex]\[ c = 43.2 \][/tex]
Therefore, the final cost of the \[tex]$40 item after an 8% tax is applied is:
\[ \boxed{43.2} \]
So, the final cost of the item is \$[/tex]43.20.
