ACCA Financial Accounting (F3) Certification Practice Exam 2026 – The All-in-One Guide to Exam Success!

To determine the total amount Erin should charge for her transaction, it's essential to calculate the sales tax on the goods sold and then add that tax to the original sale price.

First, calculate the sales tax on the $600 sale. With a sales tax rate of 17.5%, the sales tax can be calculated as follows:

Sales tax = Sale price × Sales tax rate

Sales tax = $600 × 0.175

Sales tax = $105

Now that we have the sales tax amount, we can find the total amount Erin should charge by adding the sales tax to the original sale price:

Total amount charged = Sale price + Sales tax

Total amount charged = $600 + $105

Total amount charged = $705

Reviewing the choices given, the calculation does not align with any of the provided answers. Therefore, when determining the correct answer for the total amount including sales tax charged on a transaction of $600 at a rate of 17.5%, it should be recognized that the total amount charged is significantly higher than what is listed in the answer choices.

However, if you were to revisit the initial premise of the question, it’s clear that calculating the right figures and understanding the relationship between the sale price and