Tax, Tip and Discount

Front

What is the formula to calculate a tip based on a bill amount?

Back

Tip = Bill Amount × Tip Percentage

Front

If a bill is $50 and the tip percentage is 15%, how much is the tip?

Back

$7.50

Front

What does it mean to apply a discount to a price?

Back

A discount means to subtract a certain percentage or amount from the original price.

Front

How do you calculate the final price after applying a discount?

Back

Final Price = Original Price - Discount Amount

Front

If an item costs $100 and has a 20% discount, what is the final price?

Back

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

Front

What is sales tax and how is it calculated?

Back

Sales tax is a percentage of the purchase price added to the total cost. It is calculated as Sales Tax = Purchase Price × Sales Tax Rate.

Front

If a T.V. costs $990 and has a 9% sales tax, what is the total cost?

Back

Total Cost = $990 + ($990 × 0.09) = $1,079.10

Front

What is the difference between a tip and a discount?

Back

A tip is an additional amount given for service, while a discount reduces the price of an item.

Front

How do you calculate the total bill including tip?

Back

Total Bill = Meal Cost + Tip Amount

Front

If Daniel's meal cost $28.00 and he leaves a 20% tip, what is the total bill?

Back

Total Bill = $28.00 + ($28.00 × 0.20) = $33.60