PRE-ALGEBRA

PRE-ALGEBRA

Lesson 6-8 Warm-Up

PRE-ALGEBRA

What is “markup”?

How do you find the percent of markup ?

markup (also known as profit): the amount a store adds to the amount it paid for an item (the store’s cost), so the store can make a profit. The selling price is the amount the store sells an item for after markup. The percent of markup is a percent of increase or the difference between the store’s cost and the selling price.

Rule: store’s cost + markup = selling price

To find the markup, find the percent of increase using a proportion or by dividing the amount of markup by the store’s original cost.

Rule:

Markup and Discount (6-8)

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Example: An electronics store orders a set of walkie-talkies for $14.85 each and sells each set for $19.90. What is the percent of markup?

Method 1: Proportion

# %

Part (Known) 5.05 m

Whole (Unknown) 14.85 100

= Proportion .5.05

14.85x

100

14.85 • x = 5.05 • 100 Cross products are equal.

19.90 – 14.85 = 5.05 Find the markup (amount of increase)

= Divide both sides by 14.85. .5.05

14.85

x = 5.05 14.85 = 0.34 = 0 3 4 . = 34%

1

1

The percent of markup 34%.

Markup and Discount (6-8)

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How do you find the percent of a number?

Method 2: Divide the markup by the original amount (store’s cost)

0 3 4 . = 34% Multiply by 100, which means move the decimal 2 places to the right to change a decimal into a percent.

= Divide the markup by the store’s cost . (original amount of the item)

5.0514.85 0.34

19.90 – 14.85 = 5.05 Find the markup

The percent of markup 34%.

Markup and Discount (6-8)

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Find the percent of markup for a stapler

costing the school store $2.10 and selling for $3.36.

The percent of markup is 60%.

1262.1

2.1m2.1

= Division Property of Equality.

60 = m Simplify.

100 • 1.26 = 2.1m Write the cross products.

1.262.1

m100

= Write a proportion.Let m = percent of markup.

3.36 – 2.10 = 1.26 Find the amount of markup.

LESSON 6-8

Additional Examples

# %

Part (Known) 1.26 m

Whole (Unknown) 2.10 100

Markup and Discount

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A grocery store has a 20% markup on a can of soup.

The can of soup costs the store $1.25. Find the markup.

markup = percent of markup • store’s cost

= 0.2 • 1.25  

= 0.25        Simplify.

The markup is $.25.

Markup and DiscountLESSON 6-8

Additional Examples

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How do you find the selling price (regular price)?

To find the selling price, add the markup to the store’s cost.

Example: A music store’s percent of markup is 67%. If a CD cost the store $10.15, what is the selling price of the CD?

Step 1: Find the markup.

markup = 67% of $10.15

= 0.67 • $10.15 Change percent to a decimal, “of” to a“times” sign, and remove labels

6.80 Simplify and round to the nearest cent.

Step 2: selling price = markup + original rice

selling price = $6.80 + $10.15 Substitute

The CD is selling for $16.95.

Markup and Discount (6-8)

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A bookstore pays $4.50 for a novel. The percent of

markup is 45%. Find the novel’s selling price.

0.45 • 4.50 = 2.03 Multiply to find the markup.

4.50 + 2.03 = 6.53   Store’s cost + markup = selling price.

The selling price is $6.53.

Markup and DiscountLESSON 6-8

Additional Examples

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What is “discount”?

How do you find the discount / markdown ?

Discount (also called the Markdown): the amount a store subtracts from the selling price, so the store can sell an item quickly. The sale price is the new price after the discount is taken off. amount . The percent of discount (markdown) is a percent of decrease or the difference between the selling price and the sale price.

Rule: selling price (regular price) - discount = sale price

To find the discount, find the percent of decrease using a proportion or by dividing the amount of discount (markdown) by the store’s original cost similar to the way you found the percent of markup.

Rule:

Markup and Discount (6-8)

PRE-ALGEBRA

Example: Athletic shoes that normally sell for $85.99 are on sale for 20% off. What is the sale price of the shoes.

Method 1: Selling Price (Regular Price) – Discount = Sale Price

# %

Part (Unknown) d 20

Whole (Known) 85.99 100

= Proportion .d

85.9920

100

100 • x = 85.99 • 20 Cross products are equal.

= Divide both sides by 14.85. .1719.8

100

x = 1719.8 100 17.20

1

1

So, the discount is 17.20%.

Markup and Discount (6-8)

Selling Price (Regular Price) – Discount = Sale Price $85.99. - 17.20 = $68.79

The shoes are on sale for $68.79

First, use a proportion to find the discount.

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Method 2: Find the new percent of the original price.

# %

Part (Unnown) d 80

Whole (Known) 85.99 100

= Proportion .d

85.9980

100

100 • x = 85.99 • 80 Cross products are equal.

= Divide both sides by 14.85. .6879.2

100

x = 6879.2 100 68.79

1

1

Markup and Discount (6-8)

The shoes are on sale for $68.79

100% – 20% = 80% Find the new percent after the percent of change

Now, find the new percent of the original price. You can use aproportion or an equation to do this.

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Find the percent of discount for a $74.99 tent that

is discounted to $48.75.

The percent of discount for the tent is about 35%.

74.99p74.99

2,62474.99

= Division Property of Equality.

74.99 • p = 26.24 • 100 Write the cross products.

26.2474.99

p100

= Write a proportion.

74.99 – 48.75 = 26.24 Find the amount of discount.

p 35 Simplify.

LESSON 6-8

Additional Examples

# %

Part (Unknown) 26.24 p

Whole (Known) 74.99 100

Markup and Discount

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A camera that regularly sells for $210 is on sale for

30% off. Find the discount.

discount = percent of discount • regular price

= 0.30 • 210

= 63

The discount is $63.

Markup and DiscountLESSON 6-8

Additional Examples

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A shoe store advertises a 35%-off sale. What is

the sale price of shoes that regularly cost $94.99?

Find the discount first. 35% of $94.99 equals the discount.

The sale price is $61.74.

0.35 • 94.99 = 33.2465 Multiply to find the discount.

94.99 – 33.25 = 61.74 regular price – discount = sale price

= $33.25 Round to the nearest hundredth.

Then subtract to find the sale price.

LESSON 6-8

Additional Examples

Markup and Discount

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Solve.

1. The school store has a 65% markup on each stapler. Each stapler costs the store $2.10. Find the markup.

2. A clothes store pays $40 for a skirt. The percent of markup is 25%. Find the skirt’s selling price.

3. A pair of shoes that regularly sells for $94.99 is on sale for 30% off. What is the sale price?

$1.37

$66.49

$50

Lesson Quiz

Markup and DiscountLESSON 6-8