- Discount is a reduction given on marked price.
- Discount = Marked Price – Sale Price (S.P.)
- Discount can be calculated when discount percentage is given.
- Discount = Discount % of Marked Price
- Additional expenses made after buying an article are included in the cost price and are known as overhead expenses.
- cost price = buying price + overhead expenses
- Sales Tax is charged on the sale of an item by the government and is added to the Bill Amount.
- Sales tax = Tax% of sale amount
- These days, however, the selling prices (known as MRP) include the tax known as VAT (Value Added Tax).
- The interest compounded annually is the interest calculated on the previous year’s amount A, (A = P + I).
- The time period after which the interest is added each time to form a new principal is called the conversion period.
- When the interest is compounded half yearly, there are two conversion periods in a year of duration 6 months each.
- Amount when interest is compounded annually is n R A P1 100 where P is Principal R is Rate of interest

n is Time Period - Amount when interest is compounded half yearly is 2 R A P1 200 n where R 200 is half yearly rate and 2n is number of half years.

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