Tax, Tip, & Discount Review

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

To calculate a tip, multiply the total amount by the tip percentage (expressed as a decimal). For example, a 15% tip on a $45 bill is calculated as $45 x 0.15 = $6.75.

Front

What is a discount?

Back

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

Front

How do you calculate a discount?

Back

To calculate a discount, multiply the original price by the discount percentage (expressed as a decimal) and subtract that amount from the original price.

Front

What is the final price after applying a discount?

Back

The final price is the original price minus the discount amount. For example, if a jacket costs $45 and has a 15% discount, the final price is $45 - ($45 x 0.15) = $38.25.

Front

What is tax?

Back

Tax is a mandatory financial charge imposed by a government on individuals or businesses, usually calculated as a percentage of income or sales.

Front

How do you calculate the total cost including tax?

Back

To calculate the total cost including tax, multiply the original price by the tax rate (expressed as a decimal) and add that amount to the original price.

Front

If a sweater costs $30 and has a 25% discount, how much do you save?

Back

You save $7.50, calculated as $30 x 0.25.

Front

If a family pays $45 for a ride and gives a 15% tip, what is the total cost?

Back

The total cost is $51.75, calculated as $45 + ($45 x 0.15).

Front

What is the original price of an item if the sale price is $38.75 after a 15% discount?

Back

The original price is $45, calculated as $38.75 / (1 - 0.15).