Sales Tax, Tips, Discounts, and Mark-Ups

Front

What is sales tax?

Back

Sales tax is a percentage of the sale price that is added to the total cost of a purchase, collected by the seller and paid to the government.

Tags

CCSS.6.RP.A.3C

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, a 15% tip on a $26 bill is calculated as $26 x 0.15 = $3.90.

Tags

CCSS.6.RP.A.3C

Front

What does it mean to express a percentage as a decimal?

Back

To express a percentage as a decimal, divide the percentage by 100. For example, 6% as a decimal is 6 ÷ 100 = 0.06.

Front

How do you convert a decimal to a percentage?

Back

To convert a decimal to a percentage, multiply the decimal by 100. For example, 0.08 as a percentage is 0.08 x 100 = 8%.

Front

What is a mark-up?

Back

A mark-up is the amount added to the cost price of goods to cover overhead and profit. It is usually expressed as a percentage of the cost price.

Tags

CCSS.6.RP.A.3C

Front

If a product costs $50 and has a 20% mark-up, what is the selling price?

Back

The selling price is calculated as Cost + (Cost x Mark-up Percentage). So, $50 + ($50 x 0.20) = $60.

Tags

CCSS.6.RP.A.3C

Front

What is a discount?

Back

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

Tags

CCSS.6.RP.A.3C

Front

How do you calculate the final price after applying a discount?

Back

To calculate the final price after a discount, subtract the discount amount from the original price. For example, a $100 item with a 20% discount: $100 - ($100 x 0.20) = $80.

Tags

CCSS.6.RP.A.3C

Front

What is the formula for calculating sales tax?

Back

Sales Tax = Price x Sales Tax Rate. For example, if an item costs $100 and the sales tax rate is 5%, the sales tax is $100 x 0.05 = $5.

Tags

CCSS.7.RP.A.3

Front

If a bill is $12.36 and the sales tax is 4.5%, what is the total amount after tax?

Back

Total Amount = Bill + (Bill x Sales Tax Rate). So, $12.36 + ($12.36 x 0.045) = $12.36 + $0.555 = $12.91.

Tags

CCSS.6.RP.A.3C