Consumer Math Basics

Front

What is consumer math?

Back

Consumer math is the application of mathematical concepts to real-world financial situations, such as budgeting, saving, and spending.

Front

What is sales tax?

Back

Sales tax is a percentage added to the price of goods and services, collected by the seller and paid to the government.

Front

How do you calculate the total cost including sales tax?

Back

Total Cost = Original Price + (Original Price x Sales Tax Rate).

Front

What is a mark-up?

Back

A mark-up is the amount added to the cost price of goods to cover overhead and profit.

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

Tip = Total Bill x Tip Percentage.

Front

What is the difference between selling price and cost price?

Back

The difference is known as profit or loss, depending on whether the selling price is higher or lower than the cost price.

Front

What is a discount?

Back

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

Front

How do you calculate the final price after a discount?

Back

Final Price = Original Price - (Original Price x Discount Rate).

Front

What is the formula for calculating percentage?

Back

Percentage = (Part / Whole) x 100.