Markup, Discount, Tip, and Tax

Front

What is markup?

Back

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.

Front

How do you calculate the selling price using markup?

Back

Selling Price = Cost Price + (Markup Percentage × Cost Price)

Front

If an item costs $50 and has a markup of 20%, what is the selling price?

Back

Selling Price = $50 + (0.20 × $50) = $60.

Front

What is a discount?

Back

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

Front

How do you calculate the sale price after a discount?

Back

Sale Price = Original Price - (Discount Percentage × Original Price)

Front

If a shirt costs $40 and has a 25% discount, what is the sale price?

Back

Sale Price = $40 - (0.25 × $40) = $30.

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

Tip = Total Bill × Tip Percentage

Front

If a restaurant bill is $80 and you want to leave a 15% tip, how much is the tip?

Back

Tip = $80 × 0.15 = $12.

Front

What is tax?

Back

Tax is a financial charge imposed by a government on income, goods, or services, usually expressed as a percentage.