Nigel at the Store

9.965 is original price. Sale Tax @ 5.57% is 0.555 on 9.965 and total price is 10.52

The official answer is 9.95.

So applying a 5.57% tax on it, the manager has to pay to the State 0.55 for each item.

The price of the object should be 9.95+0.55=10.52. The manager keeps 2 cents in his pocket at each item, making believe the State is greedy.

A similar problem of rounding appeared after 2001, passing from Franc to Euro - bills and documents were in both currencies, some rounded sums were showing a difference between euro and franc. The State decided to let an error margin for each bill and purchase ticket.

Hello,

as for this the original price before the tax sales is being calculated in,

let that price = x,

x = $10.52 - [ (5.57/100) x $10.52]

x = $9.934036....

thanks....

The answer can be written as $x = 10.52 - (5.57\%$ of $x)$ .

$\Rightarrow$ $\frac{10.52}{1.0557}$ $= 9.965$ .

Rounding off to the nearest hundredth $\Rightarrow$ $\boxed{9.95}$ .