The shopper's dilemma: do we save money by applying a discount first, then the sales tax? Or the other way around: by first adding the sales tax, then applying a discount? Suggestion: suppose an item costs $100. You have a coupon for 10% off, and you know that sales tax is an additional 10%. Try taking the discount off, then adding the tax, and note that total. Then, do it the other way around: add the tax, then apply the discount, to get a new total. Does a specific order save us money, and if so, what is the most cost effective order? *
(Hint: once you add 10% to the total, 10% of that new amount is NOT $10 any more.)