ELI5: Explain Like I'm 5

Cash rounding

Hello there! Have you ever gone to the store and noticed that the price of something you want to buy has a weird number like $3.67? That's because sometimes things cost a certain amount of money that doesn't end in a zero or a five.

Cash rounding is a way to make sure that everyone pays an understandable amount of money for things they buy. When you go to pay for the item and the price has a number that doesn't end in a zero or a five, the cashier will round the price up or down to the nearest nickel (five cents).

For example, if you're buying something that costs $3.67, the cashier would round the price up to $3.70, or down to $3.65. This makes it easier to pay and keeps the prices in line with the rest of the cost of living.

Overall, cash rounding helps people to understand the prices of things better and makes it easier to pay for things without having to deal with odd prices that can be tricky to figure out.