Chapter 6 Review Part 2: Sales, Discount, and Tax

1. Chapter 6 Review Part 2: Sales, Discount, and Tax

2. Discount • $ 150.00 list price • 20% discount rate • Discount___________ • Sale Price__________ 150.00 X 0.20 $30.00 $30.00 $120.00 Multiply list price to discount rate List price subtract discount • 150.00 • 30.00 • $120.00

3. Discount Practice Problems • Shirt usually costs $25.00 • 30% discount rate • Discount____________ • Sale Price___________ $7.50 $17.50 Multiply list price to discount rateSubtract the discount to theoriginal price $25.00 X 0.30 $7.50 $25.00 - 7.50 $ 17.50

4. Discount Practice Problems • Car costs $6,295.00 • 10% discount rate • Discount_________ • Sale Price________ $629.50 $5,665.50 Multiply cost to discount rate $6,295.00 X 0.10 $629.50 Subtract discount from cost $6,295.00 - 629.50 $ 5,665,50

5. Sales Tax • A Digital Download costs $10.90 with 5% tax 1) Turn % to decimal 5% / 100 = 0.05 2) Multiply decimal to cost $10.90 X 0.05 $0.55 3) Add tax to cost $10.90 + 0.55 $11.45

6. Sales Tax Practice Problems • A jacket costs $75.25. Tax rate 3% 1) Turn tax rate into decimal 3% / 100 = 0.03 2) Multiply cost to decimal $75.25 x 0.03 $3.77 3) Add tax to original price $75.25 + 3.77 $ 79.02

7. Sales Tax Practice Problems • Used car costs $4,000.00. Tax rate is 8% 1) Turn tax rate into decimal 8% / 100 = 0.08 2) Multiply cost to decimal $4,000.00 x 0.08 $ 320.00 3) Add tax to original price $4,000.00 + 320.00 $ 4,320.00

8. NOTECARD • The next slides will show you what you can have on your note card. • It is your responsibility to bring the note card to class on Monday. • Note card will be turned in with test.

9. FINDING RATE, BASE, & PERCENTAGE • Remember: You only need to solve one way. • Both ways of solving are presented on the following pages • Only copy down the way you will use on the test

10. Example problem: Calculator org. price: $9.95 Discount Rate: 10% 10% / 100 = 0.10 $9.95 x 0.10 0.995 = $1.00 round up $9.95 - 1.00 $8.95 What to put on your note card • Discount • Turn discount rate to decimal • Multiply decimal to original price • SUBTRACT answer from original price

11. Example problem: Tickets: $15.00 Sales Tax Rate: 6% 6% / 100 = 0.06 $15.00 x 0.06 0.90 $15.00 + 0.90 $15.90 What to put on your note card • Sales Tax • Turn sales tax rate to decimal • Multiply decimal to org. price • ADD answer to original price

12. FINDING THE RATE (%) Example problem: x% is 2.7 of 80 What to put on your note card 1) Write down formula Is = % of 100 2) Plug in your knowns. 2.7 = x 18 100 3) Cross Multiply 18x = 270 4) Divide to get x by itself 18x = 270 18 18 x = 15% 1) Divide is to of 2.7 / 18. = 0.15 2) Multiply answer by 100 0.15 x 100 = 15%

13. FINDING THE BASE (OF) Example problem: 22% of x is 17.6 What to put on your note card • Write down formula • Is = % • of 100 • 2) Plug in your knowns. • 17.6 = 22 • x 100 • 3) Cross Multiply • 22x = 1,760 • 4) Divide to get x by itself • 22x = 1760 • 22 22 • x = 80 1) Turn 22% into a decimal. 22% -> 0.22 2) Divide the percentage (is) and decimal 17.6 / 0.22 = 80

14. FINDING THE PERCENTAGE (IS) Example problem: 22% of 36 is x. What to put on the note card • Write the formula • Is = % • of 100 • 2) Plug in your knowns. • x = 22 • 36 100 • 3) Cross Multiply • 100x = 792 • 4) Divide to get x by itself • 100x = 792 • 100 100 • x = 7.92 1) Turn 22% into a decimal. 22% -> 0.22 2) Multiply the two knowns. 0.22 x 36 = 7.92