Percent Sales Tax & Discount

Front

What is a percent discount?

Back

A percent discount is a reduction in the original price of an item, expressed as a percentage of that price.

Front

How do you calculate the sale price after a discount?

Back

Sale Price = Original Price - (Original Price × Discount Rate)

Front

What is sales tax?

Back

Sales tax is a percentage of the sale price of goods and services that is added to the total cost.

Front

How do you calculate the total cost including sales tax?

Back

Total Cost = Sale Price + (Sale Price × Sales Tax Rate)

Front

What is the formula to find the percent of a number?

Back

Percent = (Part / Whole) × 100

Front

If an item costs $50 and has a 20% discount, what is the sale price?

Back

Sale Price = $50 - ($50 × 0.20) = $40

Front

How do you round a number to the nearest cent?

Back

Look at the third decimal place: if it's 5 or more, round up; if it's less than 5, round down.

Front

What is the importance of rounding in financial transactions?

Back

Rounding ensures that monetary values are expressed in a standard format, typically to two decimal places.

Front

If a product costs $100 and the sales tax is 5%, what is the total cost?

Back

Total Cost = $100 + ($100 × 0.05) = $105

Front

What does it mean to find the percent increase?

Back

Percent increase measures how much a value has grown compared to its original amount, expressed as a percentage.