Given:
Mr. Rodriguez : 6.25
Mrs. R 7.50
2 children @ 4.99 each 9.98
Subtotal: 23.73
Sales tax 7.25% 1.72 *23.73 x 7.25%
Total tip 15% 3.56 *23.73 x 15%
Grand total $29.01
Tips should be applied to pre-tax amount not post-tax. However, some companies compute tip based on post-tax amount. This means that the tip you are paying is computed based on the total amount of the meal as well as the sales tax you paid for the meal.
