Module 8

Module 8: Daily Living

 

Dollar Discounts into Percent Discounts

 

Often in a sales flyer, the discount is quoted in dollar value rather than as a percent. In the next part of the lesson, you will convert dollar discounts to percent discounts.

 

Example 4

 

Dual shock controllers for gaming are $49.99 after a discount of $5.00. What was the original price and what is the percent discount? Round to the nearest tenth of a percent.

 

Solution

 

 

You must determine what a $5.00 discount on an original price of $54.99 is as a percent, or out of 100. Let the percent discount be x%.

 

Method 1

 

Set up a proportion.

 

 

The discount is approximately 9.1%.

 

Method 2

 

Divide the dollar discount by the original price. Then convert to a percent.

 

 

The discount is approximately 9.1%.

 

Example 5

 

A clothing store buys a line of men’s suits for $150.00 each from a suit wholesaler. The store owner decides he must mark up the price of each suit by $90.00 in order to make a profit. What is the percent mark-up?

 

Solution

 

View the animated “Example 5 Solution: Percent Mark-up Solution.”

 

Self-Check

 

SC 10. A business-supply store advertises anti-virus software for $29.99. This price is after a $30.00 discount.

1. What was the original price of the software?
   
   
2. What is the percent discount? Round your answer to the nearest tenth of a percent.

SC 11. A portable GPS is advertised for $119.96. This price is after a $30.00 discount.

 

1. What was the original price of the GPS?
   
   
2. What is the percent discount? Round your answer to the nearest tenth of a percent.

SC 12. A cellphone store purchases a popular cellphone for $40.00 wholesale. The store sells the phone for $69.99.

1. What is the dollar mark-up?
   
   
2. What is the percent mark-up? Round to the nearest tenth of one percent.

Compare your answers.

 

Mastering Concepts

 

Macey runs a gift store in Whitehorse. She has purchased stone inukshuk souvenirs at a wholesale price of $40.00 each.

1. At the beginning of July, Macey marked up the wholesale price by 60%. There are a few inukshuk souvenirs left near the end of the summer. Macey discounts the selling price 25% for her annual clearance sale. What is the discounted price?
   
   
2. Suppose Macey had bought the inukshuks when the wholesaler was having a sale. Assume the discount on the wholesale price was 25%, and then Macey marked up the discounted price by 60%. What would the selling price have been?
   
   
3. Compare the calculations and the answers for parts a and b. What can you conclude about the order of percent increases and decreases and their effect on the final price.

Compare your answers.

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