Discount, Tax, Commission

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 total cost after applying a discount?

Back

To calculate the total cost after a discount, subtract the discount amount from the original price.

Front

What is tax in the context of purchases?

Back

Tax is a mandatory financial charge imposed by a government on the sale of goods and services, usually expressed as a percentage of the sale price.

Front

How do you calculate the total cost including tax?

Back

To calculate the total cost including tax, multiply the price after discount by (1 + tax rate).

Front

What is a commission?

Back

A commission is a fee paid to an agent or salesperson for facilitating a sale, usually calculated as a percentage of the sale amount.

Front

How do you calculate commission?

Back

To calculate commission, multiply the total sales amount by the commission rate.

Front

What is the formula for calculating the final price after a discount and tax?

Back

Final Price = (Original Price - Discount) + Tax on Discounted Price.

Front

If a book costs $7.85 and is 16% off, what is the discount amount?

Back

Discount = Original Price x Discount Rate = $7.85 x 0.16 = $1.256.

Front

What is the total cost of a book priced at $7.85 with a 16% discount and 15% tax?

Back

Total Cost = ($7.85 - $1.256) + 15% tax on discounted price = $7.58.

Front

If a salesperson sells a product for $4,500 with a 5% commission rate, how much commission do they earn?

Back

Commission = $4,500 x 0.05 = $225.