Tax, Tip, & Discount

Front

What is a tip?

Back

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

Front

How do you calculate a tip?

Back

To calculate a tip, multiply the total cost by the tip percentage (as a decimal). For example, for a 20% tip on a $50 bill, you calculate 50 x 0.20 = $10.

Front

What is tax?

Back

Tax is a percentage of the cost of goods or services that is added to the total price.

Front

How do you calculate tax?

Back

To calculate tax, multiply the total cost by the tax rate (as a decimal). For example, for a 5% tax on a $100 purchase, you calculate 100 x 0.05 = $5.

Front

What is a discount?

Back

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

Front

How do you calculate a discount?

Back

To calculate a discount, multiply the original price by the discount percentage (as a decimal). For example, for a 30% discount on a $40 item, you calculate 40 x 0.30 = $12.

Front

What is the sale price?

Back

The sale price is the final price after the discount has been applied to the original price.

Front

How do you find the sale price?

Back

To find the sale price, subtract the discount from the original price. Sale Price = Original Price - Discount.

Front

If a meal costs $50 and you leave a 15% tip, what is the total cost?

Back

Total Cost = $50 + ($50 x 0.15) = $50 + $7.50 = $57.50.

Front

If a jacket costs $60 and has a 25% discount, what is the sale price?

Back

Sale Price = $60 - ($60 x 0.25) = $60 - $15 = $45.