Instructions
Read each question carefully and answer to the best of your ability. Make sure to explain your reasoning where needed.
1. Understanding Sales Tax
What is sales tax, and why is it applied to purchases?
2. Calculating Sales Tax
If you buy a new video game for $60 and the sales tax is 8%, how much will you pay in total? Show your work.
3. The Impact of Sales Tax
How do you think sales tax affects consumers' spending habits? Provide at least two examples.
4. Responsibility of Managing Money
Why is it important to understand sales tax when managing your money? Explain your thoughts.
5. Scenario Analysis
Imagine you have a budget of $100 for video games and accessories. You find games costing $30 each and controllers costing $25 each. Write a plan on how you would spend your money considering sales tax. Include how many items you could buy and your total expenditure including tax.
6. Reflection
Reflect on a past purchase where sales tax played a significant role in deciding what you could buy. What did you learn from that experience?
Bonus: List two ways you can be a responsible consumer when it comes to taxes and spending.