Exercise
Write the percent formula.
percent x whole = part
Exercise
What is 17% of 30?
5.1
Exercise
What percent of 30 is 24? 80%
Exercise
70% of what number is 35? 50
Exercise
If you remove 30% of the
items, what percent of the
items are left? 70%
Example 1
Find the discount and sales
price if the retail price is $27.80
and the discount rate is 15%.
discount = rate x retail price
discount = 0.15(27.80)
= $4.17
sale price = retail – discount
sale price = $27.80 – $4.17
= $23.63
Example 2
An item originally priced at
$45 sold for $32.85. What
was the discount rate?
45 – 32.85 = $12.15
rate x retail price = discount
45p = 12.15
45
45
p = 0.27 = 27%
Example
Find the discount if the retail
price is $50 and the discount
rate is 18%. $9
Example
Find the discount rate if the
retail price is $75 and the
discount is $15. 20%
Example
Find the discount and the
discount rate if the retail
price is $80 and the item is
on sale for $55.
discount: $25
discount rate: 31.25%
Example
During a going-out-of-business
sale, a company decides to
reduce its merchandise 10% per
week until it is all sold. For
example, a $100 item sells for
$90 the first week, $81 the
second week, and so on. What is
the cost of a $250 TV set if is still
there the third week? $182.25
Example
What is the retail price if the
sale price is $80 after a 33%
discount? $119.40
Example
What is the retail price if the
cost is $40 and the markup
rate is 25%? $50
Cost
Cost is the amount a
merchant pays for the
merchandise he will sell.
Retail Price
Retail price is the regular
amount a merchant asks his
customer to pay for
merchandise.
Markup
Markup is the amount the
merchant adds to his cost to
arrive at the retail price.
Markup Rate
Markup rate is the amount
of markup on an item as a
percent of its cost.
markup = markup rate x cost
retail price = cost + markup
Example 3
A merchant buys shirts at $28
each and uses a 25% markup
rate. Find the markup amount
and retail price.
markup = markup rate x cost
= 0.25(28) = $7
retail price = cost + markup
= 28 + 7 = $35
Example 4
A merchant buys ties for $15
and sells them for $18. Find
the markup and markup rate.
cost + markup = retail price
15 + m = 18
15 + m – 15 = 18 – 15
m=3
The markup is $3.
Example 4
A merchant buys ties for $15
and sells them for $18. Find
the markup and markup rate.
markup rate x cost = markup
p x 15 = 3
The markup
15p = 3
rate is 20%.
15 15
p = 0.2 = 20%
Example
If the cost is $45 and the
retail price is $65, what is the
markup and the markup rate?
markup: $20;
markup rate: 44.4%
Example
In an “everything is a dollar”
store, what is the most a
store owner can buy his
merchandise for if he wishes
to make a 20% profit? $0.83
Exercise
Jody wants to buy a road
bike for racing. The manager
of OutBike bicycle shop just
got in a new shipment of road
bikes, and the one Jody is
interested in costs the store
$1,480. The manager marks
the bike up 40%.
Exercise
What is the retail price of the
road bike that Jody is
interested in? $2,072
Exercise
After three months the
manager advertises a 20% off
sale on all bikes in the store.
How much would the bike
that Jody wants cost during
this sale? $1,657.60
Exercise
Three months after the first
sale the manager takes an
additional 20% off the sale
bikes. How much would the
bike cost at this point?
$1,326.08
Exercise
Jody talked to the manager
about the bike, and he told
her she could have the bike
for either 40% off the original
price or the price after both
20% discounts are taken off.
Which should she choose?
40% off the original price
Exercise
Why is the price after two
20% discounts are taken of
different from the price when
a 40% discount is taken off?
The second 20% is figured
on the sale price, which is
smaller than the original
retail price.
Exercise
How does the 40% discount
compare to the cost of the
bike before the markup? Why
are these amounts different?
The 40% discount is figured
on the higher retail price,
whereas the 40% markup is
figured on the lower cost.