Ricardo is treating his employees and makes the following purchases at the store:2 packages of bagels at $3.49 each2 containers of cream cheese at $2.89 each3 dozen doughnuts at $5.39 each4 bottles of juice at $3.49 eachRicardo has a business account which saves him 5% on all purchases at this store. The discount is applied before tax. He is charged sales tax of 7%. If Ricardo paid $45.89, then he _____ for his purchase.
The purchases total $42.89. After the 5% discount, Ricardo owes $42.89 × 0.95 = $40.7455; adding 7% tax gives about $43.60. Since he paid $45.89, he paid $45.89 − $43.60 = $2.29 too much, so choice C is correct.
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