Whenever we eat at a sit-down restaurant, we pay sales tax on top of the cost of the food. We also pay a tip for the service we receive at the restaurant. Like sales tax, tip is calculated as a percentage of the cost of the food. You determine how much to tip. Generally, people tip between 10% and 20%.

Example 1:

Find the total costs asked for.

You buy $5 worth of food at a restaurant. The sales tax is 6.5% and you wish to tip 10%. What is the bill after tax, how much tip should you leave, and what is the total cost of everything after tip and tax?

Bill after tax: Tip owed: Total bill:

Bill after tax	=	Cost of the food + Cost of the food × Sales tax percentage
	=	$5 + ($5)(6.5%)
	=	$5 + $0.33
	=	$5.33
Tip owed	=	Cost of the food × Tip percentage
	=	($5)(10%)
	=	$0.50
Total bill	=	Bill after tax + Tip owed
	=	$5.33 + $0.50
	=	$5.83

The answer is

Bill after tax: Tip owed: Total bill: