Discount and Sales Tax Word Problems

Front

What is a discount?

Back

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

Front

How do you calculate the sale price after a discount?

Back

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

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 = Price + (Price × Sales Tax Percentage)

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

Tip = Total Bill × Tip Percentage

Front

What does 'markup' mean in pricing?

Back

Markup is the amount added to the cost price of goods to cover overhead and profit, usually expressed as a percentage.

Front

How do you calculate the total price after markup?

Back

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

Front

If an item costs $50 and is marked up by 20%, what is the new price?

Back

New Price = $50 + ($50 × 0.20) = $60

Front

If a shirt originally costs $30 and is on sale for 25% off, what is the sale price?

Back

Sale Price = $30 - ($30 × 0.25) = $22.50