Sales tax refers to additional fees paid on items that you purchase in department stores, gas stations, restaurants, etc -- basically any consumer-oriented venue. The tax is meant to go to local and state governments to fund public services. Getting back to your question, 8% sales tax means that you pay 8% in additional fees on every dollar. For example, let's say you buy a 20 oz. Coke that's $1.00. When you are rung up, you will end up paying additional fees of: (Amount)*(Sales Tax in Decimal Form) = (1.00)*(0.08) = 0.08. So, you end up paying a total of $1.08. See how that works? An easier way to do is to just do (Amount)*(1 + Sales Tax in Decimal Form) = Total Amount Paid.

Good explanation above. I just want to add that this question is all about an understanding of percentages. Move the decimal over two places to any percentage to make it ready for calculations. What is 8% of something? It's (something) multiplied by 0.08. See how I moved the decimal over.

1.08 * (Sales Price)

just multiply the price of what is purchased by 1.08. thats the total price of what was bought plus the sales tax