Calculating the sale price of an item is one of the few math problems that most people will actually use after high school. Nevertheless, many of us don’t know how to do it. Not knowing what the price will be at checkout is frustrating. And not knowing how to help customers is even more frustrating. Thankfully, there are some tricks to make it easier.
Category: Business Math
Markup is the percent of increase in selling price from the original cost. Companies mark up products they sell in order to make money for their business. How much they mark up the products depends on many factors, including demand, whether the product is a luxury item, and so forth. Some items are marked up considerably. It’s hard to believe we pay what we do for common items.
When a clerk grabs the change due from the cash register and plops it in your hand, you would have to do some pretty quick math to be sure you got the right change. But when a clerk counts up from the total and stops at the amount tendered, it is a relief for you and a guarantee for her that the amount is correct.
There are a few problems relating to percents that anybody might come across in everyday life and want to solve. I am going to show you how to solve a few of these problems, no matter how they are presented, whether it be to find the percent of a number or to find the answer to a percentage word problem. You will also learn how to easily find a percent increase.
Calculating overtime by hand can be risky. The Federal and State governments have set a lot of rules to ensure that employees get paid fairly for the time they work over 40 hours, and if a company doesn’t know and follow all of those rules, overtime lawsuits often result.
The NOAA provides a map showing the probability that any city in the US will have up to an inch of snow on the ground on Christmas day. These numbers are figured from the collected data of the last three decades.
In most restaurants across the country, servers receive the majority of tips. However, all of the restaurant’s employees are jointly responsible for the customer’s satisfaction and so most restaurants require that servers share tips with supporting staff.
How the tips are split varies and there is a formula for every type of scenario.
Understanding fixed and marginal cost is a must for small businesses. Knowing how much it will cost to produce one more item or provide one more service helps a business form a competitive and profitable pricing structure, create coupons, and give discounts.
There are several ways to calculate accruals for employees. Probably the most common is to give employees the whole lump sum at the beginning of the year or anniversary date, but other accrual rates are common for certain scenarios.