MJ2
Ch 8.5 – Sales Tax & Discount
1. A recipe calls for 2 cups of flour to make 24 cookies.
How many cups of flour would it take to make 39 cookies?
2 cu p s
n cu p s

24 cookies
39 cookies
24 • n = 2 • 39
24 n = 78
n  3
1
4
3
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4

7
or 3.25
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Bellwork – You do not have to write the question – Grid your answer
Assignment Review
• Practice Skills Workbook Lesson 8.4
Before we begin…
• Please take out your notebook and get
ready to work…
• In the last lesson we looked percent of
change…that is the percent of increase or
decrease
• In today’s lesson we will look at markup,
discount and sales tax…discount
represents a decrease and markup & sales
tax represent increases…
Objective
• Students will solve problems involving
discount and sales tax.
Markup & Discount
• When a store sells an item for more than it paid,
the extra money is used to cover expenses and to
make a profit.
• The increase in price is called markup. The
percent of markup is a percent of increase.
• The amount the customer pays is called the
selling price
• When a store has a sale, the amount by which the
regular price is reduced is called discount. The
percent of discount is a percent of decrease
Calculating Markup & Discount
• Markup – to calculate markup, multiply the
original price by the percent of increase,
and then add that amount to the original
price to get the selling price.
• Discount – to calculate discount, multiply
the original price by the percent of
decrease and then subtract that amount
from the original price to get the sale price.
Example - Markup
• A store is selling a jacket for 25% over
cost. The cost is $35. What is the selling
price?
$35 x 25% = $8.75
$35 + $8.75 = $43.75 Selling Price
Your Turn
•
In the notes section of your notebook
calculate the selling price
1. Computer: $700
Markup:
30%
2. CD Player: $120
Markup:
20%
3. Jeans:
$25
Markup:
45%
Example - Discount
• A computer sells for $1,200. The store
puts the computer on sale for 30% off.
What is the sale price?
$1200 x 30% = $360
$1200 - $360 = $840 Sale price
Your Turn
•
In the notes section of your notebook
calculate the sale price
1. Video game:
$75
Discount:
25%
2. Skateboard:
$119.95
Discount:
30%
3. Television:
$675.50
Discount
35%
Sales Tax
• Sales tax is an additional amount of
money charged on items that people buy.
The local, state & federal government
receives this money.
• The total cost of an item is the price plus
the sales tax.
• NOTE: You do not pay tax on the price
of an item before discount. You pay the
tax on the discounted amount!
Example – Sales Tax
• What is the total cost of a sweatshirt if the
original price is $42 and the sales tax is
5½%?
• In this instance you calculate the sales tax
by multiplying the $42 by 5.5% and then
add that amount to the $42
42 ● 5.5% = 2.31 (Tax amount)
42 + 2.31 = $44.31 Total price
Your Turn
•
In the notes section of your notebook
calculate the total price:
1. $2.95 notebook; 5% tax
2. $46 shoes; 2.9% tax
3. $178.90 video game; 3.75% tax
Summary
• In the notes section of your notebook
summarize the key concepts covered in
today’s lesson
• Today we discussed
• Markup, discount, & sales tax
Assignment
• Text p. 356 # 11 - 20
Reminder:
• This assignment is due tomorrow
• I do not accept late assignments
• I do not accept answers only for any
assignment (no work = no credit)