Lesson Plan -- Discounts/Markups
Chapter Resources
- Lesson 4-13 Discounts, Tips, Markups, Commissions, and Profit
- Lesson 4-13 Discounts, Tips, Markups, Commissions, and Profit Answers
1
Name ———————————————————————
LESSON
4-13
California
Standards
Gr. 6 NS 1.4: Calculate
given percentages of
quantities and solve
problems involving
discounts at sales,
interest earned, and
tips.
Gr. 7 NS 1.7: Solve
problems that involve
discounts, markups,
commissions, and
profi t and compute
simple and compound
interest.
Also included: Gr. 7
NS 1.3
Date ————————————
,Q[KW]V\[<QX[5IZS]X[
+WUUQ[[QWV[IVL8ZWÅ\
Words to Remember
Discount: A percent or amount of decrease in the price of an item
Sale price 5 original price 2 discount
Tip: A percent earned by a person for providing a service
Wholesale price: The price a retail store pays the manufacturer
Markup: A percent or amount increase a retail store charges to earn a profit
Retail price: The price at which a store sells items to customers
Retail price 5 wholesale price 1 markup
Commission: A percent of total sales earned by an employee or business
Commission earned 5 percent commission 3 total sales
Profit: The difference of the income and the expenses for a business
Getting Started In Lesson 4-12 you learned how to find percent of
change, percent of increase, and percent of decrease. In this lesson, you
apply these skills to solve problems.
E@)584-
Finding a Sale Price
The original price of a shirt is $18. The shirt is on sale for a 20% discount.
What is the sale price of the shirt?
Solution
Discount 5 20% of $18
5 0.20(18)
Find the amount of discount.
5 3.60
Sale price 5 original price 2 discount
5 18 2 3.60
5 14.40
Use formula to find sale price.
ANSWER The sale price of the shirt is $14.40.
T:A <0 1;
Find the sale price.
1. Original price: $40
Percent discount: 30%
50
Math Intervention
Book 4 Ratios, Rates, Proportions, and Percents
2. Original price: $75
Percent discount: 25%
Copyright © by McDougal Littell, a division of Houghton Mifflin Company.
Profit 5 income 2 expenses
Name ———————————————————————
E@)584-
/PUJDF
You find total meal
costs and retail
prices in the same
way. Find the tip
or markup amount
and add this amount
to the food bill or
wholesale price.
Date ————————————
Finding a Total Cost
Your food bill at a restaurant was $23.50. You leave a 15% tip. What is the
total cost of your meal?
Solution
Tip 5 15% of $23.50
5 0.15(23.50)
5 3.53
Find the amount of tip.
Total cost 5 23.50 1 3.53
5 27.03
Add the tip to the food bill.
ANSWER The total cost of your meal is $27.03.
E@)584-
Finding a Commission
Anthony receives a 9% commission on magazine subscription sales. Last
week, his total sales were $1800. How much commission did he earn?
Solution
Copyright © by McDougal Littell, a division of Houghton Mifflin Company.
Commission 5 9% of $1800
5 0.09(1800)
5 162
Find the amount of commission.
ANSWER Anthony earned $162 in commission last week.
E@)584-
Finding a Profit
You sell fruit drinks at the town field. This past weekend, you collected
$107. Your expenses for the fruit drinks were $82. What is your profit?
Solution
Profit 5 income 2 expenses
Use formula to find profit.
5 107 2 82
5 25
ANSWER Your profit for last weekend is $25.
T:A <0 1;
Find the indicated value.
3. Find the retail price.
Wholesale price: $50
Percent markup: 30%
4. Find the commission.
Total sales: $1600
Percent commission: 6%
Math Intervention
Book 4 Ratios, Rates, Proportions, and Percents
51
Name ———————————————————————
Date ————————————
Summarize
Finding a Sale Price after a Discount
Find the amount of discount. Subtract the discount amount from
the original price.
Finding a Final Cost after a Tip or Markup
Find the amount of tip or markup. Add the tip or markup to the
original amount.
Finding a Commission
Multiply total sales by the percent commission.
Finding a Profit
Subtract expenses from income.
Practice
Tell whether you would add or subtract to find the answer.
1. A store bought $150 worth of items at wholesale price. The store
will markup the items by 120%. You want to find the retail price.
____________
total cost of the meal. __________
3. A movie DVD has an original price of $20. The store is offering a
10% discount on movies. You want to find the sale price. _________
Find the sale price, retail price, or total meal cost.
4. Original price: $20
5. Original price: $80
Discount: 30%
Discount: 10%
6. Wholesale price: $30
Percent markup: 120%
8. Food bill: $55
Tip: 18%
7. Wholesale price: $85
Percent markup: 20%
9. Food bill: $38.40
Tip: 15%
Find the commission.
10. Total sales: $2000
Percent commission: 10%
11. Total sales: $1200
Percent commission: 5%
Find the profit.
12. Expenses: $275
Income: $495
52
Math Intervention
Book 4 Ratios, Rates, Proportions, and Percents
13. Expenses: $700
Income: $1050
Copyright © by McDougal Littell, a division of Houghton Mifflin Company.
2. The bill at a restaurant is $45. You tip 17%. You want to find the
Name ———————————————————————
Date ————————————
Solve the problem. Explain your answer.
14. A craft store bought paint for a wholesale price of
$100. The store charges a 65% markup. What is the
craft store’s price for the paint?
______________________________________________
______________________________________________
______________________________________________
15. Sylvano wants to buy a pair of gym shoes that
cost $75. The shoes are on sale at a 30% discount.
How much will Sylvano spend on the shoes?
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
16. Howard sold $3500 worth of jewelry this past week. If he earns an
8% commission, how much commission did he earn?
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
17. A school group collects $194.25 at a fund-raiser. The group spent
Copyright © by McDougal Littell, a division of Houghton Mifflin Company.
$53.75 on supplies. How much profit did they earn?
_________________________________________________________________________________
_________________________________________________________________________________
_________________________________________________________________________________
,1,A7=/ -<1<'
18. Fill in the missing words. To find the total meal cost, you
would __________ the amount of the______________ to the
food __________.
19. Find the sale price. Original price: $30, Discount: 15%
__________________________________________________________________________
__________________________________________________________________________
20. Find the retail price. A store bought a statue for a $125
wholesale price. The store charges an 85% markup. What is
the retail price of the statue?
__________________________________________________________________________
__________________________________________________________________________
Math Intervention
Book 4 Ratios, Rates, Proportions, and Percents
53
Answer Key
Lesson 4-13, pp. 50–53
Try this:
1. $28.00
2. $56.25
3. $65.00
4. $96.00
Practice:
1. add
2. add
3. subtract
4. $14.00
5. $72.00
6. $66.00
7. $102.00
8. $64.90
9. $44.16
10. $200.00
11. $60.00
12. $220.00
13. $350.00
14. $165.00; Sample answer: $100 1 ($100 3 0.65) 5 $165
15. $52.50; Sample answer: $75 2 ($75 3 0.30) 5 $52.50
16. $280.00; Sample answer: $3500 3 0.08 5 $280.00
17. $140.50; Sample answer: $194.25 2 $53.75 5 $140.50
18. add; tip; bill
19. $25.50
20. $231.25