4.3.4 Tax and Tips

Front

What is a tip?

Back

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

Front

How do you calculate a percentage of a number?

Back

To calculate a percentage of a number, multiply the number by the percentage (in decimal form). For example, to find 20% of $75, calculate 75 * 0.20 = $15.

Front

What is the formula to calculate the total cost including tax?

Back

Total Cost = Original Price + (Original Price * Tax Rate).

Front

How do you convert a percentage to a decimal?

Back

To convert a percentage to a decimal, divide the percentage by 100. For example, 7.5% becomes 0.075.

Front

What is sales tax?

Back

Sales tax is a tax imposed by the government on the sale of goods and services, usually calculated as a percentage of the sale price.

Front

If a meal costs $50 and the sales tax is 8%, what is the total cost?

Back

Total Cost = $50 + ($50 * 0.08) = $54.

Front

How do you calculate the total amount after applying a discount?

Back

Total Amount = Original Price - (Original Price * Discount Rate).

Front

What is the total cost of a meal that costs $85 after a 10% discount and a 6% tax?

Back

Total Cost = ($85 - ($85 * 0.10)) + (($85 - ($85 * 0.10)) * 0.06) = $80.91.

Front

If a restaurant bill is $120 and you want to leave a 20% tip, how much is the tip?

Back

Tip = $120 * 0.20 = $24.

Front

What is the total amount paid if the bill is $120 and a 20% tip is added?

Back

Total Amount = $120 + ($120 * 0.20) = $144.