Mark ups, Tax, and Tip

Front

What is a markup?

Back

Markup is the amount added to the cost price of a product to determine its selling price.

Front

How do you calculate the selling price with markup?

Back

Selling Price = Cost Price + Markup

Front

What is the formula to calculate sales tax?

Back

Sales Tax = Price × Tax Rate

Front

If an item costs $50 and the sales tax is 8%, what is the total cost?

Back

Total Cost = $50 + ($50 × 0.08) = $54.00

Front

What is a tip?

Back

A tip is a sum of money given to someone for their service, typically calculated as a percentage of the total bill.

Front

How do you calculate a tip?

Back

Tip = Total Bill × Tip Percentage

Front

If your bill is $30 and you want to leave a 15% tip, how much is the tip?

Back

Tip = $30 × 0.15 = $4.50

Front

What does it mean to add sales tax to a price?

Back

Adding sales tax means increasing the original price by a certain percentage to account for tax.

Front

If a product is marked up by 50% and costs $20, what is the selling price?

Back

Selling Price = $20 + ($20 × 0.50) = $30

Front

What is the total cost of a meal that costs $25 with a 10% sales tax?

Back

Total Cost = $25 + ($25 × 0.10) = $27.50