Oh no! Panchito just realized that his wife\'s birthday is in two days, and he h

Question

Oh no! Panchito just realized that his wife's birthday is in two days, and he has not purchased the iPod Touch 64G that he promised her months ago. He not only wants to buy the iPod, but he wants to load it up with his wife's favorite music, which he figures will take him a few hours. He decides to go online to look for the best deal, and this is the information he is considering: Determine the total amount of money Panchito would spend for the iPod at each of the three places. Show all your work clearly. You do not have to write your answer In a complete sentence. Amazon.com has the iPod on sale for $399.99. If he buys the iPod online, there is no sales tax. but the overnight delivery (which he must get) is $17.99. He found that his local Staples office supply store in Pico Rivera has the iPod on sale for $380.00. The sales tax rate in Pico Rivera is 9.75%. He lives within walking distance of this Staples store. The best price he found was at Roger's Electronics in the city of Burbank, which is about 25 miles from his house The iPod there is on sale for $369.99. The sales tax rate in Burbank is 8.75%, and Panchito figures that the round trip to Burbank will lake about an hour and cost about $10 in gas. If you were Panchito, where would you make your purchase? Answer in a complete sentence and clearly justify your answer.

Explanation / Answer

Option 1 :
399.99 + 17.99
417.98 dollars

Option 2 :
Sale price = 380
Sales tax = 0.0975*380 =37.05 dollars
Total = 417.05 dollars

Option 3 :
Sale price = 369.99
Stax = 0.0875 * 369.99 = 32.374125 dollars
Spending on gas = 10
Total = 369.99 + 32.374125 + 10 = 412.36 dollars

Clearly option 3 is least costly

So, if i were Panchito, I'd make the purchase using option 3

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