Mastering Discounts and Tips

Front

What is a tip?

Back

A tip is a sum 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

To calculate a tip, multiply the total bill amount by the tip percentage (expressed as a decimal). For example, for a $100 bill with a 15% tip: $100 x 0.15 = $15.

Front

What is a discount?

Back

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

Front

How do you calculate a discount?

Back

To calculate a discount, multiply the original price by the discount percentage (expressed as a decimal). For example, for a $200 item with a 20% discount: $200 x 0.20 = $40 discount.

Front

What is sales tax?

Back

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

Front

How do you calculate total cost after sales tax?

Back

To calculate the total cost after sales tax, multiply the item price by the sales tax rate (expressed as a decimal) and add it to the original price. For example, for a $100 item with an 8% tax: $100 x 0.08 = $8; Total = $100 + $8 = $108.

Front

What is the formula for calculating the final price after a discount?

Back

Final Price = Original Price - Discount Amount. The discount amount is calculated as Original Price x Discount Rate.

Front

If a restaurant bill is $50 and you want to leave a 20% tip, how much is the tip?

Back

$10 (calculated as $50 x 0.20).

Front

If a jacket costs $80 and is on sale for 25% off, what is the sale price?

Back

$60 (calculated as $80 - ($80 x 0.25)).

Front

What is the total cost of a $200 item with a 10% sales tax?

Back

$220 (calculated as $200 + ($200 x 0.10)).