Big Ideas Chapter 6 Test

Front

What is the formula to calculate the principal amount when given interest earned, interest rate, and time?

Back

Principal = Interest / (Rate * Time)

Front

If a skateboard originally costs $120 and is reduced by 25%, what is the new price?

Back

New Price = Original Price - (Original Price * Discount) = $120 - ($120 * 0.25) = $90

Front

What is a markup in pricing?

Back

Markup is the amount added to the cost price of goods to cover overhead and profit.

Front

How do you calculate the selling price after applying a markup?

Back

Selling Price = Cost Price + (Cost Price * Markup Percentage)

Front

If a shirt is on sale for $20 and was originally 40% off, how do you find the original price?

Back

Original Price = Sale Price / (1 - Discount Rate) = $20 / (1 - 0.40) = $33.33

Front

What is the formula to find a percentage of a number?

Back

Percentage of a Number = (Percentage / 100) * Number

Front

How do you calculate 87% of 55?

Back

87% of 55 = (87 / 100) * 55 = 47.85

Front

What does 'discount' mean in pricing?

Back

A discount is a reduction in the usual price of something.

Front

What is the difference between simple interest and compound interest?

Back

Simple interest is calculated only on the principal amount, while compound interest is calculated on the principal and also on the accumulated interest.

Front

How do you convert a percentage to a decimal?

Back

To convert a percentage to a decimal, divide by 100.