Kito makes on online purchase of a guitar case for $39.99, a tuner for $24.99 and picks for $26.99. Taxes are 6% of the total purchase price. Shipping charges are based on the following table:Amount of PurchaseStandard ShippingExpress Shippingup to $50$5.10$7.00$50 up to $100$6.35$8.20$100 up to $200$7.80$11.60$200 and over$10.50$16.45Kito selects express shipping and the company bills his credit card $105.69 for the total of the online purchase. Determine if Kito has been billed correctly for his purchase.
Answer
A
Kito has been billed correctly.
B
Kito has not been charged enough for his purchase.
C
Kito has been over charged by $1.85 for his purchase.
D
Kito has been over charged by $3.40 for his purchase.
Explanation
The items cost $39.99 + $24.99 + $26.99 = $91.97, which puts the purchase in the $50–$100 shipping range. Express shipping for that range costs $8.20, and 6% tax on $91.97 is $5.52 when rounded to the nearest cent. The total is $91.97 + $8.20 + $5.52 = $105.69, so Kito has been billed correctly.
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