Sales tax, tip, discount, markup

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What is sales tax?

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A sales tax is a percentage of the sale price of goods or services that is added to the total cost, which is collected by the seller and paid to the government.

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How do you calculate the amount of sales tax?

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To calculate sales tax, multiply the sale price by the sales tax rate (as a decimal). For example, if the sale price is $100 and the sales tax rate is 5%, the sales tax is $100 x 0.05 = $5.

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What is a discount?

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

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How do you calculate the amount of discount?

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To calculate the discount amount, multiply the original price by the discount percentage (as a decimal). For example, for a $80 jacket with a 30% discount, the discount is $80 x 0.30 = $24.

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What is the sale price after a discount?

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The sale price is the original price minus the discount amount. For example, if a jacket costs $80 and has a $24 discount, the sale price is $80 - $24 = $56.

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What is markup?

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Markup is the amount added to the cost price of a product to determine its selling price, usually expressed as a percentage of the cost price.

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How do you calculate the amount of markup?

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To calculate the markup amount, multiply the cost price by the markup percentage (as a decimal). For example, if jeans cost $19.99 and are marked up by 20%, the markup is $19.99 x 0.20 = $4.

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What is the formula for calculating the selling price after markup?

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Selling Price = Cost Price + Markup Amount. For example, if the cost price is $19.99 and the markup is $4, the selling price is $19.99 + $4 = $23.99.

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What is a tip?

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

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How do you calculate a tip?

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To calculate a tip, multiply the total bill by the tip percentage (as a decimal). For example, for a $50 bill with a 15% tip, the tip is $50 x 0.15 = $7.50.