Notes 9.7B
Name_________________
How do I find
discounts,
markups, sales tax
and tips?
1. To find the tip or tax,
change the percent to a
decimal and multiply
the percent times the
original cost.
Example
Your bill at a restaurant
is $15. Find the total
cost if you want to add a
20% tip.
Your turn
What is the sale price
of a skateboard that is
15% off the original
price of $130?
20% x 15
.20 x 15 = 3.00
$15 + 3 = $18
2. To find the new
amount, add the tip or
tax to the original cost.
What is the total cost of
a $20 meal if you leave a
15% tip and the tax is
5%?
3. If both a tax and tip
are calculated on to a
cost, add both to the
original price.
What is the retail price
of a CD that has a
wholesale price of $8
with a markup of 50%?
.15 x $20 = 3.00
.05 x 20 = 1.00
$20 + 3 + 1 = $24
2. To find the new
price, add the discount
to the original price.
Remember:
wholesale- price stores
pay for an item
retail – price stores
charge for an item
markup – an increase in
the price
discount – a decrease in
the price