Calculating Discounts and Markups

Front

What is a discount?

Back

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

Front

How do you calculate the discount amount?

Back

Discount Amount = Original Price × Discount Rate.

Front

What is the formula to find the selling price after a discount?

Back

Selling Price = Original Price - Discount Amount.

Front

What is a markup?

Back

A markup is an increase in the original cost of an item, usually expressed as a percentage.

Front

How do you calculate the markup amount?

Back

Markup Amount = Cost Price × Markup Rate.

Front

What is the formula to find the selling price after a markup?

Back

Selling Price = Cost Price + Markup Amount.

Front

If an item is marked down by 25%, what is the discount rate?

Back

The discount rate is 25%.

Front

If an item originally priced at $100 is sold for $75, what is the discount rate?

Back

Discount Rate = ((Original Price - Selling Price) / Original Price) × 100 = 25%.

Front

What is the original price if an item is marked down by 15% and the selling price is $127.46?

Back

Original Price = Selling Price / (1 - Discount Rate) = $149.95.

Front

If a store sells an item for $63 with a 40% markup, what is the cost price?

Back

Cost Price = Selling Price / (1 + Markup Rate) = $45.