How do I figure out a pre-tax amount when I know the final total?

G

Guest

I am trying to figure out a formula to figure out the pre-tax amount. I have
a final total and know the tax percent. How do I use these to figure out the
price before tax is added?
 
R

RichardSchollar

If you have:

A times (1-B) equals C

where A is gross, B is tax rate (say 30%) and C is net (say $70) then
it follows that:

A = C/(1-B)

or A = 70/(1-0.30)

A=100

Does this help you with your problem?

Richard
 
B

Bill Kuunders

one way

A1= gross amount
B1 = tax percentage
net amount =
=A1/(100+B1)*100

use general formats
i.e.tax percentage = 12
 
P

Peo Sjoblom

Tax rate in B1 and gross amount in A1

=A1/(1+B1)

--

Regards,

Peo Sjoblom

Excel 95 - Excel 2007
Northwest Excel Solutions
www.nwexcelsolutions.com
"It is a good thing to follow the first law of holes;
if you are in one stop digging." Lord Healey
 
G

Guest

Thank you Richard and Bill! You both posted the same formula, which is
exactly what I needed! Thanks again.
 

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