This PCEP practice question tests your understanding of data types, variables, basic i/o and operators. Read the scenario carefully and evaluate each option against the stated constraints before committing to an answer. After answering, compare your reasoning against the explanation and wrong-answer breakdown below. Once you have made your selection, read the full explanation to reinforce the concept and understand why each distractor is designed to mislead on exam day.
An accountant uses a Python script to calculate tax: tax = price * 0.08. For price=19.99, tax results in 1.5992. However, the output should be rounded to two decimal places. Which expression should replace the current one?
tax = round(price * 0.08)
Why wrong: Rounds to nearest integer, not two decimals.
tax = round(price * 0.08, 2)
Correctly rounds to two decimal places.
tax = price * 0.08
Why wrong: No rounding applied.
tax = int(price * 0.08 * 100) / 100
Why wrong: Truncates instead of rounding.
Answer choices
Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.
Correct answer & explanation
tax = round(price * 0.08, 2)
Option B is correct because the built-in `round()` function with a second argument of 2 rounds the floating-point result of `price * 0.08` to exactly two decimal places, which matches the requirement for currency formatting. The other options either omit rounding, round to an integer, or use integer truncation that can produce incorrect results for negative numbers or edge cases.
Key principle: Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Answer analysis
For each option: why learners choose it and why it is or isn't the right answer here.
tax = round(price * 0.08)
Why it's wrong here
Rounds to nearest integer, not two decimals.
tax = round(price * 0.08, 2)
Why this is correct
Correctly rounds to two decimal places.
Related concept
Read the scenario before looking for a memorised answer.
tax = price * 0.08
Why it's wrong here
No rounding applied.
tax = int(price * 0.08 * 100) / 100
Why it's wrong here
Truncates instead of rounding.
Common exam traps
Python Institute often tests the distinction between `round(x)` (rounds to integer) and `round(x, n)` (rounds to n decimal places), and the trap here is that candidates may choose Option A thinking it rounds to two decimals, or Option D thinking integer truncation is equivalent to rounding.
Detailed technical explanation
The `round()` function uses banker's rounding (round half to even) in Python 3, meaning that when the digit to round is exactly 5, it rounds to the nearest even number—this can cause subtle differences from standard rounding in financial calculations. For precise decimal arithmetic in accounting, the `decimal.Decimal` module is often preferred over floating-point to avoid binary representation errors like 0.08 not being exactly representable. In real-world tax calculations, using `round()` with two decimals is acceptable for display but may accumulate errors in large datasets.
Key takeaway
Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option.
Real-world example
A practitioner preparing for the PCEP exam encounters this exact type of scenario on the job. The correct answer here is not the most general option — it is the best answer for the specific constraint described. Answer the scenario, not the keyword: identify the specific constraint before choosing the most familiar-sounding option. Real exam questions reward reading the full scenario before eliminating options, because the constraint defines which answer fits.
What to study next
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Data Types, Variables, Basic I/O and Operators — study guide chapter
Learn the concepts, then practise the questions
Data Types, Variables, Basic I/O and Operators practice questions
Targeted practice on this topic area only
All PCEP questions
510 questions across all exam domains
Certified Entry-Level Python Programmer PCEP study guide
Full concept coverage aligned to exam objectives
PCEP practice test guide
How to use practice tests most effectively before exam day
Related practice questions
Use these pages to review the topic behind this question. This is how one missed question becomes focused revision.
Practise PCEP questions linked to Computer Programming and Python Fundamentals.
Practise PCEP questions linked to Data Types, Variables, Basic I/O and Operators.
Practise PCEP questions linked to Control Flow, Loops, Lists and Logic.
Practise PCEP questions linked to Functions, Tuples, Dictionaries and Exceptions.
Practise PCEP questions linked to PCEP fundamentals.
Practise PCEP questions linked to PCEP scenario.
Practise PCEP questions linked to PCEP troubleshooting.
Practice this exam
Short sessions build daily habit. Longer sessions build exam-day stamina. Try a timed session to simulate real conditions.
FAQ
Data Types, Variables, Basic I/O and Operators — This question tests Data Types, Variables, Basic I/O and Operators — Read the scenario before looking for a memorised answer..
The correct answer is: tax = round(price * 0.08, 2) — Option B is correct because the built-in `round()` function with a second argument of 2 rounds the floating-point result of `price * 0.08` to exactly two decimal places, which matches the requirement for currency formatting. The other options either omit rounding, round to an integer, or use integer truncation that can produce incorrect results for negative numbers or edge cases.
Identify which exam domain this question belongs to, review the core concept, then practise similar questions from the same domain.
Read the scenario before looking for a memorised answer.
About these practice questions
Courseiva creates original exam-style practice questions with explanations and wrong-answer analysis. It does not publish real exam questions, exam dumps, or protected exam content. Learn why practice questions differ from exam dumps →
Keep practising
Last reviewed: Jun 30, 2026
This PCEP practice question is part of Courseiva's free Python Institute certification practice question bank. Courseiva provides original exam-style practice questions with explanations, topic-based practice, mock exams, readiness tracking, and study analytics to help learners prepare for the PCEP exam.
Question Discussion
Share a tip, memory trick, or ask about the reasoning behind this question. Do not post real exam questions, leaked content, braindumps, or copyrighted exam material. Comments are moderated and may be removed without notice.
Sign in to join the discussion.