1. Do Now
How much is 7% of $36?
$2.52

2. Learn to do real-life problems involving percent, including mark ups, discounts, tax, tip, and commission

3. Sales tax is a tax that is added onto the
price of an item purchased and is used to
fund the government. It is usually given as
a percentage whose amount varies from place
to place. For example, the sales tax in
New Jersey is 7% while in New York it is 8%.
We treat sales tax as a percent increase
when we need to do calculations.

4. Example A
Tom bought a TV for $750. The tax rate in his state is 5%. How much tax will he have to pay? What will be the total amount Tom will pay for the TV?
Tax = $37.50
Total = $787.50 4

5. Other Percent Increases
Tip
Sales tax
Markups—increase from wholesale price to retail price 5

6. Discounts are taken OFF the price of
a purchase. They are an example of a
percent decrease.

7. Example B
Alex is buying a new phone for $450. The store is offering a discount of 35%. How much money will she save? How much will the phone cost?
Discount = $157.50
Total = $292.50 7

8. Other Percent Decreases
Discounts
Coupons
Income taxes 8

9. Salespeople often work on commission.
What that means is that they get to keep a
certain percentage of their sales.
For example, if Julia works on 10%
commission and sells $100 worth of
merchandise, she gets to keep $10.
It is used as a method for motivating
employees to sell the products.

10. Example C
Katlyn works at a car dealership. She earns 4% commission on all of her sales. If she sold a car for $39,000, how much would she earn in commission?
Commission = $1,560
Katlyn also earns a monthly salary of $2,100. What would her total income for this month be?
Total Income = $3,660 10

11. 1. The lunch bill was $26. 78, and you want to leave an 18% tip
1. The lunch bill was $26.78, and you want to leave an 18% tip. How much should you tip?
2. The lunch bill was $26.78, and you want to leave an 18% tip. How much is the total cost?
3. The $62 sweater you want is on sale for 35% off. What is the new cost of the sweater?
4. A $15.99 DVD was marked up 75% when the movie won several awards. What is the new cost of the DVD? 4
$4.82
$31.60
$40.30
$27.98 11

12. 5. Mia earn 5% commission on each car she sells. If
she sold a $26,500 car, how much commission
will she receive?
6. A $65 videogame was 20% off plus 7.5% tax. What is the cost of the videogame?
7. A real-estate agent is paid a monthly salary of
$900 plus commission. Last month he sold one
condominium for $65,000, earning 4%
commission on the sale. How much was his
commission? What was his total pay last month?
$1325
$55.90
$2600; $3500 12

13. Extra Example 1
A real-estate agent is paid a monthly salary of $900 plus commission. Last month he sold one condominium for $65,000, earning a 4% commission on the sale. How much was his commission? What was his total pay last month?
First find his commission.
4%  $65,000 = c commission rate  sales = commission

14. Extra Example 1 continued
0.04  65,000 = c Change the percent to a decimal.
2600 = c Solve for c.
He earned a commission of $2600 on the sale.
Now find his total pay for last month.
$ $900 = $ commission + salary = total pay.
His total pay for last month was $3500.

15. Extra Example 2
A car sales agent is paid a monthly salary of $700 plus commission. Last month she sold one sports car for $50,000, earning a 5% commission on the sale. How much was her commission? What was her total pay last month?
First find her commission.
5%  $50,000 = c commission rate  sales = commission

16. Extra Example 2 continued
0.05  50,000 = c Change the percent to a decimal.
2500 = c Solve for c.
The agent earned a commission of $2500 on the sale.
Now find her total pay for last month.
$ $700 = $ commission + salary = total pay.
Her total pay for last month was $3200.

17. Extra Example 3
If the sales tax rate is 6.75%, how much tax would Adrian pay if he bought two CDs at $16.99 each and one DVD for $36.29?
CD: 2 at $ $33.98
DVD: 1 at $ $36.29
$70.27 Total Price
 = Write the tax rate as a decimal and multiply by the total price.
Adrian would pay $4.74 in sales tax.

18. Extra Example 4
Amy stays in a hotel for $45 per night. She stays for two nights and pays a sales tax of 13%. How much tax did she pay?
$45  2 = $90 Find the total price for the hotel stay.
$90  0.13 = $ Write the tax rate as a decimal and multiply by the total price.
Amy spent $11.70 on sales tax.