Markup/Markdown

Front

What is a commission rate?

Back

A commission rate is a percentage of sales that a salesperson earns as compensation for their sales efforts.

Front

If Sharon sells $37,000 worth of items and earns 17% commission, how do you calculate her salary?

Back

Multiply the total sales by the commission rate: $37,000 * 0.17 = $6,290.

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 final price of an item including sales tax?

Back

Multiply the original price by the sales tax rate, then add that amount to the original price.

Front

If a T.V. costs $990 and has a 9% sales tax, what is the sales tax amount?

Back

Sales tax = $990 * 0.09 = $89.10. Final price = $990 + $89.10 = $1,079.10.

Front

What does it mean to have a discount on an item?

Back

A discount is a reduction in the original price of an item, often expressed as a percentage.

Front

If Sam bought a jacket for $85 with a 40% discount, how much did he pay?

Back

Discount amount = $85 * 0.40 = $34. Final price = $85 - $34 = $51.

Front

What is the formula to calculate the final price after applying a discount?

Back

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

Front

What is the difference between 'added' and 'subtracted' in terms of sales tax?

Back

Sales tax is 'added' to the original price, while discounts are 'subtracted' from the original price.

Front

How do you express a percentage as a decimal?

Back

To express a percentage as a decimal, divide by 100. For example, 17% = 0.17.