How Much is the Sales Tax for Mr. Reed's Wiring Service?

What is the total amount charged by the electrician for wiring Mr. Reed's home?

The electrician charges Mr. Reed $300, before sales tax, for wiring his home.

What is the amount of sales tax that Mr. Reed has to pay for the service rendered?

The total amount charged by the electrician for wiring Mr. Reed's home is $300.

Final Answer:

The amount of sales tax Mr. Reed has to pay for the service is $21.

When the electrician charges Mr. Reed $300 for wiring his home, this amount is before sales tax. To calculate the amount of sales tax that Mr. Reed has to pay, we need to first find out the sales tax rate.

Assuming the sales tax rate is 7%, we can now proceed with calculating the sales tax amount. To do this, we multiply the total amount before tax ($300) by the sales tax rate (7%).

Calculation: $300 x 7% = $21

Therefore, the amount of sales tax Mr. Reed has to pay for the service rendered is $21.

← Purchase of merchandise from acme wholesale company Leasing vs buying office space which one is the right choice for your business →