Tax, Tip and Discount

Front

What is sales tax?

Back

Sales tax is a percentage of the price of a product that is added to the total cost at the time of purchase.

Front

How do you calculate sales tax?

Back

To calculate sales tax, multiply the price of the item by the sales tax rate (as a decimal).

Front

If an item costs $100 and the sales tax is 8%, what is the total cost?

Back

Total cost = $100 + ($100 * 0.08) = $108.

Front

What is a discount?

Back

A discount is a reduction in the price of a product, usually expressed as a percentage.

Front

How do you calculate the price after a discount?

Back

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

Front

If a shirt costs $20 and has a 25% discount, what is the sale price?

Back

Sale price = $20 - ($20 * 0.25) = $15.

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

To calculate a tip, multiply the total bill by the tip percentage (as a decimal).

Front

If a dinner costs $50 and you want to leave a 15% tip, how much is the tip?

Back

Tip = $50 * 0.15 = $7.50.

Front

What does 'added' mean in relation to sales tax?

Back

'Added' means that the sales tax is included on top of the original price of the item.