(12C) Calculate the Amount of Sales Tax

08082022, 06:40 AM
(This post was last modified: 08082022 06:42 AM by Gamo.)
Post: #1




(12C) Calculate the Amount of Sales Tax
Find this article interesting about
"How do I calculate the amount of sales tax that is included in total receipts?" Here is the link: https://www.accountingcoach.com/blog/cal...salestax Some calculator do have the specific TAX function to calculate TAX+ and TAX This article ask on how to calculate the TAX to find the amount not include tax with tax amount. On HP12C Financial Calculator doesn't have the TAX function but the TVM function will do this problem just fine. I'll use the example problem from this article to shown on how to set up. Total included Tax is $481.50 Tax Rate is 7% Find Total not include Tax and Tax amount. Set Up Data: Input 1 to [ n ] // this part just to always input 1 Input 7 to [ i ] // this is for your Tax Rate in this case is 7 Input 481.50 to [FV] To Run Press [PV] and the answer is 450 just ignore the negative sign Press [RCL] [FV] [+] and the answer is 31.50 So Amount not include Tax is $450 and Tax amount is $31.50 To check for correction add both up 450 + 31.50 = 481.50 The [PV] is for Amount not include tax (Exclusive Tax) The [FV] is for Amount include tax (Inclusive Tax) So user can either look for Exclusive or Inclusive Tax with this TVM function. Remark: I think someone might just think oh this is just a simple tax calculations. I know in this case one can just divide the Amount include tax with 1.07 and will get quicker answer right? ( 481.50 ÷ 1.07 = 450 ) That right but with this handy TVM function it is much quicker once the data is already input on [n] and [i] user just input amount either at [PV] or [FV] in either case will help user do it much faster when doing lot of tax related calculations. 

08092022, 09:10 AM
Post: #2




RE: (12C) Calculate the Amount of Sales Tax
Thank you Gama for the thread.
I use HP17bII and HP 19bII among others in the office. PV and FV works here too. e.g. Input [PV[ (= net) Press [FV] (= gross) Press [+] (= tax) saves even 2 keystrokes compared to HP12c (translated) 8years elementary school, 2y business school; no bachelor/master, etc.; but always interested in simple mathematics & calculators 

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