{"id":20467,"date":"2013-07-09T00:15:57","date_gmt":"2013-07-09T07:15:57","guid":{"rendered":"https:\/\/lenpenzo.com\/blog\/?p=20467"},"modified":"2022-09-10T08:48:10","modified_gmt":"2022-09-10T15:48:10","slug":"are-you-smarter-than-a-5th-grader-guess-which-item-costs-more","status":"publish","type":"post","link":"https:\/\/lenpenzo.com\/blog\/id20467-are-you-smarter-than-a-5th-grader-guess-which-item-costs-more.html","title":{"rendered":"Are You Smarter Than a 5th Grader? Guess Which Item Costs More."},"content":{"rendered":"<p>Last night I was doing a little <a href=\"http:\/\/https:\/\/lenpenzo.com\/blog\/id3212-strange-finds-on-amazon-and-ebay-2.html\">shopping on Amazon<\/a> and I came across an item that was being offered for sale by two different vendors. Here was the price summary that appeared on my screen:<\/p>\n<p><a href=\"https:\/\/lenpenzo.com\/blog\/wp-content\/uploads\/2013\/07\/5th-Grader-3.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter  wp-image-20468\" title=\"5th Grader 3\" src=\"https:\/\/lenpenzo.com\/blog\/wp-content\/uploads\/2013\/07\/5th-Grader-3.jpg\" alt=\"\" width=\"500\" height=\"467\" srcset=\"https:\/\/lenpenzo.com\/blog\/wp-content\/uploads\/2013\/07\/5th-Grader-3.jpg 502w, https:\/\/lenpenzo.com\/blog\/wp-content\/uploads\/2013\/07\/5th-Grader-3-300x280.jpg 300w\" sizes=\"auto, (max-width: 500px) 100vw, 500px\" \/><\/a><\/p>\n<p>So, which item is <a href=\"https:\/\/lenpenzo.com\/blog\/id8068-you-can-call-me-almost-anything-but-please-dont-call-me-cheap-3.html\">the better bargain<\/a>?<\/p>\n<p>On first glance, you might think the first item listed would result in a higher bill at the checkout stand. And why not? It&#8217;s $10.30 price tag is a full $3.40 more than its lone competitor selling for the seemingly bargain price of $6.90.<\/p>\n<p>However, upon closer inspection, and all things being equal, the second item is actually 14 cents more expensive after including the shipping charges.<\/p>\n<p><strong>But Wait &#8230; Actually, It&#8217;s Not Quite That Simple<\/strong><\/p>\n<p>In case your wondering, the first item is cheaper regardless of whether or not taxes come in to play. Kinda sorta.<\/p>\n<p>Let me explain:<\/p>\n<p>Five states have <a href=\"http:\/\/www.kiplinger.com\/tool\/retirement\/T055-S001-state-by-state-guide-to-taxes-on-retirees\/index.php?map=2\">no sales tax<\/a>: Alaska, Delaware, Montana, New Hampshire and Oregon. And although that means 45 states <em>do<\/em> have one, currently, most items sold by Amazon or its subsidiaries are <a href=\"http:\/\/www.amazon.com\/gp\/help\/customer\/display.html?nodeId=468512\">subject to sales tax<\/a> only if they are shipped to one of the following states:<\/p>\n<ul id=\"GUID-28DC356A-3853-411B-B0FA-165F5981F99C__UL_497D04DA2E7649FBA4922B801C442B64\">\n<li>Arizona<\/li>\n<li>California<\/li>\n<li>Kansas<\/li>\n<li>Kentucky<\/li>\n<li>New Jersey<\/li>\n<li>New York<\/li>\n<li>North Dakota<\/li>\n<li>Pennsylvania<\/li>\n<li>Texas<\/li>\n<li>Washington<\/li>\n<\/ul>\n<p>Most states include shipping charges as part of the sales tax.<\/p>\n<p>Most &#8230; but not all.<\/p>\n<p>If Amazon should ever expand their list to include Idaho, Iowa, Massachusetts, Oklahoma, Utah, and Wyoming &#8212; states that, according to Quicken, <em>don&#8217;t<\/em> require sales <a href=\"http:\/\/quicken.intuit.com\/support\/help\/pre-sales-questions\/collecting-sales-tax-on-shipping-and-handling-fees\/GEN83247.html\">tax on shipping fees<\/a> &#8212; then the calculus changes.<\/p>\n<p>For items shipped to those six states, the second item in my example would be the better buy because the resulting sales tax would be significantly lower.<\/p>\n<p>Got all that?<\/p>\n<p>Good, because I don&#8217;t think I could muster the fortitude to try explaining it again.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Last night I was doing a little shopping on Amazon and I came across an item that was being offered for sale by two different vendors. Here was the price summary that appeared on my screen: So, which item is the better bargain? On first glance, you might think the first item listed would result [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","pmpro_default_level":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_genesis_hide_title":false,"_genesis_hide_breadcrumbs":false,"_genesis_hide_singular_image":false,"_genesis_hide_footer_widgets":false,"_genesis_custom_body_class":"","_genesis_custom_post_class":"","_genesis_layout":"","footnotes":""},"categories":[467],"tags":[],"class_list":{"0":"post-20467","1":"post","2":"type-post","3":"status-publish","4":"format-standard","6":"category-shopping","7":"pmpro-has-access","8":"entry","9":"has-post-thumbnail"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v22.8 (Yoast SEO v27.3) - https:\/\/yoast.com\/product\/yoast-seo-premium-wordpress\/ -->\n<title>Are You Smarter Than a 5th Grader? 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On first glance, you might think the first item listed would result [&hellip;]\" \/>\n<meta property=\"og:url\" content=\"https:\/\/lenpenzo.com\/blog\/id20467-are-you-smarter-than-a-5th-grader-guess-which-item-costs-more.html\" \/>\n<meta property=\"og:site_name\" content=\"Len Penzo dot Com\" \/>\n<meta property=\"article:publisher\" content=\"http:\/\/www.facebook.com\/LenPenzo\" \/>\n<meta property=\"article:published_time\" content=\"2013-07-09T07:15:57+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2022-09-10T15:48:10+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/lenpenzo.com\/blog\/wp-content\/uploads\/2013\/07\/5th-Grader-3.jpg\" \/>\n<meta name=\"author\" content=\"Len Penzo\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@LenPenzo\" \/>\n<meta name=\"twitter:site\" content=\"@LenPenzo\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Len Penzo\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/lenpenzo.com\\\/blog\\\/id20467-are-you-smarter-than-a-5th-grader-guess-which-item-costs-more.html#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/lenpenzo.com\\\/blog\\\/id20467-are-you-smarter-than-a-5th-grader-guess-which-item-costs-more.html\"},\"author\":{\"name\":\"Len Penzo\",\"@id\":\"https:\\\/\\\/lenpenzo.com\\\/blog\\\/#\\\/schema\\\/person\\\/3968bb46693d14b2ae2ab4958aa41dfd\"},\"headline\":\"Are You Smarter Than a 5th Grader? 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