SALES TAX and INCOME TAX-Sales, Rebates ,and Coupons

Front

What is sales tax?

Back

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

Front

How do you calculate the total cost of an item with a coupon and sales tax?

Back

To calculate the total cost, subtract the coupon amount from the item's price, then add the sales tax calculated on the discounted price.

Front

What is a coupon?

Back

A coupon is a voucher that provides a discount on a specific product or service, reducing the total price.

Front

What is a rebate?

Back

A rebate is a partial refund to someone who has paid too much money for tax, rent, or a utility.

Front

How do you calculate the sale price after a discount?

Back

To find the sale price, multiply the original price by the discount percentage, subtract that amount from the original price.

Front

If an item costs $50 and has a 10% sales tax, what is the total cost?

Back

Total cost = $50 + ($50 * 0.10) = $55.

Front

If a cell phone regularly sells for $210 and is on sale for 30% off, what is the sale price?

Back

Sale price = $210 - ($210 * 0.30) = $147.

Front

What is the difference between a sales tax and an income tax?

Back

Sales tax is charged on purchases, while income tax is a tax on an individual's earnings.

Front

How do you determine which store offers a better incentive when comparing discounts and rebates?

Back

Calculate the final price after applying discounts and rebates at each store, then compare the final amounts.

Front

If a store offers a 15% rebate on a $159 item, how much do you save?

Back

Savings = $159 * 0.15 = $23.85.