How do you calculate the total cost of an item priced at $50 with a sales tax of 8%?

To find the total cost of an item after including sales tax, you need to apply the sales tax rate to the item's price and then add that tax amount to the original price.

In this case, the item is priced at $50 and the sales tax rate is 8%. To calculate the sales tax, multiply the price by the tax rate:

Sales Tax = Price × Sales Tax Rate

= $50 × 0.08

= $4

Next, you add the sales tax to the original price to determine the total cost:

Total Cost = Price + Sales Tax

= $50 + $4

= $54

Therefore, the correct total cost after including the sales tax is $54. This calculation shows a clear method for determining how taxes affect the final price of purchased items, ensuring that individuals account for additional costs beyond the base price when making purchases.