answersLogoWhite

0


Want this question answered?

Be notified when an answer is posted

Add your answer:

Earn +20 pts
Q: What is the difference between tax and discount?
Write your answer...
Submit
Still have questions?
magnify glass
imp
Continue Learning about Accounting

What is the difference between a discount sales tax and a tip in relation to the total cost?

A discount is money off a product, a sales tax is money added to the price of a product, and a tip is money given to someone fr good service.


What is the difference between discount and loss?

hi I'm Nivedita.the difference between discount and loss is discount is the reduced price whereas loss means the amount of money lost from the c.p.


If you have a discount-- does sales tax come after or before discount?

I think the discount comes first and then the sales tax.


What is the difference between discount allowed and discount received?

discount allowed means the discount which is given by a seller to the buyer. and discount received means the discount received by the seller for purchases made


Is there a difference if you should add sales tax before subtracting the discount price?

It depends, if the discount is a percentage such as 10% or 5% off, then it won't make a difference. For example, a meal at a restaurant costs $10. Tax is 5%. You use a 10% coupon. If you do tax first, it becomes $10.50. Take 10% off and it becomes $9.45. If you do the discount first, you take 10% off of 10 and it becomes $9. You then add the 5% tax and the total is $9.45 again. Now, if the discount is something like $3 off or $10 off, then it will matter. You have to take the discount off first or the tax becomes messed up. Using the same example again, your meal costs $10. Your tax is still 5%. Except this time, you have a $2 off coupon not a 10% off coupon. If you take the tax first, your total becomes $10.50. You then subtract the $2 and it becomes $8.50. If you take the discount first, then meal becomes $8. You add the 5% tax to the $8 and it becomes $8.40. So even though the difference is pretty small, there is still is a difference.

Related questions

What is difference between bankers discount and true discount?

The Banker's Gain (BG) is the difference between a banker's discount and a true discount. It is a deduction with simple interest.


What is the difference between a discount sales tax and a tip in relation to the total cost?

A discount is money off a product, a sales tax is money added to the price of a product, and a tip is money given to someone fr good service.


What is the main difference between trade discount and cash discount?

The main difference between, cash discount is shows in account book but tradediscount does not show in account book.


What is the difference between discount given and discount received?

nothing there the something ...


What is the difference between a single trade discount and trade discount series?

What is the difference between a single trade discount and trade discount series? In: http://wiki.answers.com/Q/FAQ/2547-72 [Edit categories]


What is the difference between discount and loss?

hi I'm Nivedita.the difference between discount and loss is discount is the reduced price whereas loss means the amount of money lost from the c.p.


What is the Different between a single trade discount versus a discount series?

Describe the difference between a single trade discount versus and discount series and give an example


What is the difference between a trading discount and a discount allowed?

1 billion equable whats?


What is the difference between direct tax and non-direct tax?

difference b/w direct tax and indirect tax


If you have a discount-- does sales tax come after or before discount?

I think the discount comes first and then the sales tax.


What is the difference between a 50 percent discount and a discount of 33.33 percent?

A 50% discount is half off, and a 33.33% discount is one third off.


What is the difference between discount allowed and discount received?

discount allowed means the discount which is given by a seller to the buyer. and discount received means the discount received by the seller for purchases made