Luca is planning to pay the restaurant bill for his coworkers. The bill was $193.75. A 4% tax was then added by the waiter. If Luca wants to leave a 16% tip on the total amount including the tax, how much should Luca pay?

First add the 4% tax: $193.75 × 1.04 = $201.50. The 16% tip is based on this taxed total, so the tip is $201.50 × 0.16 = $32.24. Add the tip to the total: $201.50 + $32.24 = $233.74, which is choice D.

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