Question

Sally's neighbor recently spent $120 on fitness clothes at the Workout Shop. The neighbor used a credit card to purchase the workout cothes and the store charged a transaction fee of $0.25 plus a fee of 1.6% of the total cost of the clothes charged on the credit cards. What is the total cost of the workout clothes that Sally's neighbor paid to purchase the workout clothes? O A $25.00 OB. $1.20 OC. $0.25 OD. $122.17

Answer 1

Cost of fitness clothes = $120

Transaction fee = 0.25 + 1.6% of cost of clothes

= 0.25 + 120 x 1.6%

= 0.25+1.92

= $2.17

Total cost of clothes = Purchase price + Transaction fee

= 120+2.17

= $122.17

Correct option is D.

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