• GP is the gross price ($) • TR is the tax rate (%) ## How to Calculate Net Price? The following example problems outline how to calculate Net Price. Example Problem #1: 1. First, determine the gross price ($).
1. The gross price ($) is given as: 140. 2. Next, determine the tax rate (%). 1. The tax rate (%) is provided as: 20. 3. Finally, calculate the Net Price using the equation above: NP = GP + GP*TR/100 The values given above are inserted into the equation below: NP = 140 + 140*20/100 = 168.00 ($)

Example Problem #2:

For this problem, the variables needed are provided below:

gross price (\$) = 60

tax rate (%) = 7

This example problem is a test of your knowledge on the subject. Use the calculator above to check your answer.

NP = GP + GP*TR/100 = ?