Description
Multiply for taxAmount and add to the price for inclusivePrice.
An economic model term depends on the chosen price basis, quantities, reference period, and behavioral assumptions. A supplied arithmetic component does not establish a causal economic effect or a complete model equilibrium.
Multiply for taxAmount and add to the price for inclusivePrice.
When to use this tool
Use Advalorem Tax Exclusive Inclusive Price when you need one explicitly defined economic accounting or model component.
How to use the tool and how it works
- Enter exclusivePrice, taxRateFraction. Use the units and conventions below.
- Run the tool. Correct any format, range, or cross-field input error before interpreting the output.
- Read taxAmount, inclusivePrice. Use the output convention below.
Require nonnegative exclusivePrice and taxRateFraction. Multiply for taxAmount and add to the price for inclusivePrice.1
| Input field | Meaning and units | Accepted input |
|---|---|---|
| exclusivePrice | Exclusive Price | Required. Finite number; minimum 0. |
| taxRateFraction | Tax Rate Fraction | Required. Finite number; minimum 0. |
| Output field | Interpretation | Returned shape |
|---|---|---|
| taxAmount | Tax Amount | Required. Finite number. |
| inclusivePrice | Inclusive Price | Required. Finite number. |
{
"input": {
"exclusivePrice": 80,
"taxRateFraction": 0.25
},
"output": {
"taxAmount": 20,
"inclusivePrice": 100
}
}Limitations and assumptions
- Rate is fractional and not capped at one; jurisdiction, eligibility, other taxes, and monetary rounding are not selected.
- Inputs must satisfy both the field types and the cross-field conditions above. Invalid input causes an error; a successful false flag or documented placeholder is a different result.
- Numeric calculations use binary floating point unless exact decimal-integer arithmetic is explicitly stated. No hidden measurement tolerance or decimal rounding is added; nonfinite or out-of-contract results are rejected. Numeric signed-zero results are exported as zero.
Alternative or Complementary methods
Review the complete model, data definitions, and reference prices before interpreting the result.
References
Similar or alternative tools
- Specific Tax Per Unit Wedge
Add the specific unit tax to price and multiply tax by quantity for totalTax.
- Rebate Vs Markup Base Label
Choose the reference-base label pre-rebate selling price for rebate or cost before markup for markup.