Consumer Math Flashcard Review

Front

What is sales tax?

Back

Sales tax is a percentage of the sale price of goods and services that is collected by the seller and paid to the government.

Front

How do you calculate the total cost including sales tax?

Back

Total Cost = Item Price + (Item Price x Sales Tax Rate)

Front

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

Back

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

Front

What is a gratuity?

Back

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

Front

How do you calculate a tip based on a percentage?

Back

Tip = Total Bill x Tip Percentage

Front

If a meal costs $40 and you want to leave a 15% tip, how much is the tip?

Back

Tip = $40 x 0.15 = $6.00

Front

What is the formula to find the total amount spent including tip?

Back

Total Amount = Meal Cost + Tip

Front

If the subtotal of a bill is $75 and the sales tax is 6%, what is the total amount including tax?

Back

Total Amount = $75 + ($75 x 0.06) = $79.50

Front

How do you find the change received after a purchase?

Back

Change = Amount Paid - Total Cost

Front

If you pay with a $100 bill for a $92.50 meal, how much change do you get back?

Back

Change = $100 - $92.50 = $7.50