Discounts, Markups, Tax, Tip

Front

What is a discount?

Back

A discount is a reduction in the regular price of a product or service, often expressed as a percentage.

Front

How do you calculate the sale price after a discount?

Back

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

Front

What is a markup?

Back

A markup is an increase in the price of a product or service, often expressed as a percentage of the cost.

Front

How do you calculate the final price after a markup?

Back

Final Price = Cost + (Cost × Markup Rate) or Final Price = Cost × (1 + Markup Rate)

Front

What is sales tax?

Back

Sales tax is a percentage of the sale price added to the cost of goods and services, collected by the seller.

Front

How do you calculate the total price including sales tax?

Back

Total Price = Sale Price + (Sale Price × Sales Tax Rate) or Total Price = Sale Price × (1 + Sales Tax Rate)

Front

What is a tip?

Back

A tip is a small amount of money given to service workers as a reward for their service, often expressed as a percentage of the total bill.

Front

How do you calculate the total amount including tip?

Back

Total Amount = Bill Amount + (Bill Amount × Tip Rate) or Total Amount = Bill Amount × (1 + Tip Rate)

Front

If an item costs $100 and is on sale for 20% off, what is the sale price?

Back

Sale Price = $100 - ($100 × 0.20) = $80

Front

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

Back

Total Cost = $50 + ($50 × 0.08) = $54