Discount and Markup

Front

What is a discount?

Back

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

Front

How do you calculate the amount of a discount?

Back

To calculate the amount of a discount, multiply the original price by the discount percentage (in decimal form).

Front

What is the sale price of an item?

Back

The sale price is the final price of an item after the discount has been applied.

Front

What is a markup?

Back

A markup is an increase in the original price of a product, usually expressed as a percentage of the cost price.

Front

How do you calculate the selling price after a markup?

Back

To calculate the selling price after a markup, add the markup amount to the original cost price.

Front

What is the difference between a markdown and a markup?

Back

A markdown is a reduction in price, while a markup is an increase in price.

Front

If an item is originally priced at $100 and has a 20% discount, what is the discount amount?

Back

The discount amount is $20.

Front

If a bracelet costs $36 after a 25% discount, how do you find the original price?

Back

To find the original price, divide the sale price by (1 - discount rate). In this case, $36 / (1 - 0.25) = $48.

Front

What does it mean to mark up an item by 900%?

Back

Marking up an item by 900% means the selling price is 9 times the cost price plus the original cost.

Front

If Mrs. Allison buys a bag for $28 and marks it up 900%, what is the selling price?

Back

The selling price is $280, calculated as $28 + (900% of $28).