Matt johnson delivers newspapers and is putting away $19 at the end of each month from his paper route collections. matt is 9 years old and will use the money when he goes to college in 9 years. what will be the value of matt's account in 9 years with his monthly payments if he is earning 5% (apr), 10.5 % (apr), or 14.5 % (apr)?

the answer is d

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"we first find value of tax in dollars.

the difference between the two prices   is: 23. 54 - 22 = 1.54

therefore the sales tax in dollars is 1.54

the tax % will be   (amount of tax / original cost price ) × 100

(1.54 / 22) × 100  → (0.07) × 100 =   7

so the tax rate is 7%

we can double check the answer.

7 % of 22   → (7/100) × 22 → 0.07 × 22 = 1.54

22 + 1.54 = 23.54"