I need a little help. I'm not understanding the concept.
Midtown Antiques collects 2% sales tax on all sales. It total sales including tax are $1488.57, find the that is the tax. Round your answer to the nearest cent.

If you could explain it and if there is a formula for these sorts of problems.

Question

I need a little help. I'm not understanding the concept. 
Midtown Antiques collects 2% sales tax on all sales. It total sales including tax are $1488.57, find the that is the tax. Round your answer to the nearest cent.

If you could explain it and if there is a formula for these sorts of problems.

wolf1728 · Answer

Total sales = sales * 1.02 
Total sales / 1.02 = sales
1,488.57 / 1.02 = 1,459.38

Tax = .02 * sales = (1,459.38*.02)
tax = 29.19