A contractor sells $15,000 worth of materials to another contractor. If the state sales tax rate is 6.5%, how much sales tax must be collected?
Correct Answer
A) $975
Sales tax = $15,000 × 0.065 = $975. The contractor must collect this amount from the buyer and remit it to the state.
Why This Is the Correct Answer
Sales tax = $15,000 × 0.065 = $975. The contractor must collect this amount from the buyer and remit it to the state.
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