PSAT Math Multiple-Choice Question 534: Answer and Explanation

Question: 534

A city adds a 5% hotel tax to the advertised nightly rate for all hotels booked in the city. If the advertised nightly rate for a certain hotel is $117.50, approximately how much hotel tax will be added to the bill?

• A. $5.00
• B. $6.00
• C. $7.00
• D. $8.00

Correct Answer: B

Explanation:

B

The question asks for the tax added to a bill based on a percentage. Translate the question in bite-sized pieces. Percent means "out of 100," so 5% can be written as . When a percent is taken of a value, that percent is multiplied by the value, so this becomes . This is closest to $6.00. The correct answer is (B).