Question

I live in Missouri and want to buy a $2000 sofa from Store Charley in Kansas. The sales tax rate for the store in Kansas is 8.775%. If, however, I have them deliver the sofa, then instead I pay the sales tax tax where I live which is 5.225%, but I have to pay a $75 delivery fee (there is no tax on the $75).

A. How much is the sofa if I buy it from the store and pick it up myself? How did you calculate it? If someone else has answered, do you agree and explain if you calculated it a different way?

B. How much is the sofa if I buy it and have them deliver it (I pay sales tax on the sofa but not on the delivery fee)?How did you calculate it? If someone else has answered, do you agree and explain if you calculated it a different way?

C. Would you purchase the sofa from the store or have them deliver it? What drove your decision?

D. If you had the store deliver, how much would you have to save for you to pick it up at the store?

Answer 1