CHAPTER 6

Percents

Copyright © 2014, 2010, 2007 Pearson Education, Inc. 1

6-1 Learning Outcomes

 Write a whole number, fraction or decimal as a

percent.
 Write a percent as a whole number, fraction or
decimal.

Copyright © 2014, 2010, 2007 Pearson Education, Inc. 2

 Write a whole number, fraction
6-1-1 or decimal as a percent
Section 6-1 Percent Equivalents

 Percents are used to calculate mark-downs mark-

ups, discounts and many other business
applications.
 Hundredths and percent have the same meaning:
– per hundred.
 100 percent is the same as 1 whole quantity.
– 100% = 1.
 When we multiply a number by 1, the product
has the same value as the original number.

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 Write a whole number, fraction
or decimal as a percent
Section 6-1 Percent Equivalents

 Nx1=N
– If 1 = 100%, then ½ x 100% = 50%.
– If 1 = 100%, then 0.5 x 100% = 050.% = 50%.

In each case when we multiply by 1 in some

form, the value of the product is equivalent to
the value of the original number—even
though the product looks different.

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HOW TO: Write a number as its percent equivalent
Section 6-1 Percent Equivalents

 Multiply the number by 1 in the form of 100%.

Write a number as
– The product has a %
itssymbol.
percent equivalent

Example:
Write 0.65 as a percent.
0.65 = 0.65 x 100% = 065.% = 65%
The decimal point moves
two places to the right.

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HOW TO: Write a number as its percent equivalent
Section 6-1 Percent Equivalents

Write the decimal or whole

number as a percent

0.98 = 0.98 x 100% = 098.% = 98%

1.52 = 1.52 x 100% = 152.% = 152%
0.04 = 0.04 x 100% = 004.% = 4%
5= 5.00 x 100% = 500.% = 500%
0.003 = 0.003 x 100% = 000.3% = 0.3

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 Examples…
Section 6-1 Percent Equivalents

EXAMPLES

.48 = 48%

7.16 = 716%

0.0034 = 0.34%

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 Examples…
Section 6-1 Percent Equivalents

MORE EXAMPLES

1 1 100%
= x = 25%
4 4 1
For the following, change the mixed number
to an improper fraction and multiply by 100%.
1 7 100% 700%
3 = x = = 350%
2 2 1 2

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 Examples…
Section 6-1 Percent Equivalents

MORE EXAMPLES

⅜ = 37.5%

⅞ = 87.5%

¾ = 75%

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 Write a percent as a whole
6-1-2 number, fraction or decimal
Section 6-1 Percent Equivalents

 When a number is divided by 1, the quotient

has the same value as the original number.
N
N 1 = N or =N
1
 We can also use the fact that N ÷ 1 = N to
change percents to numerical equivalents.
50% 50 1
50% 100% = or =
100% 100 2
50% 50
= = 0.50 = 0.5
100% 100
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 Write a percent as a whole
6-1-2 number, fraction or decimal
Section 6-1 Percent Equivalents

Write the percent as a number

 Divide by 1 in the form of 100% or multiply by:
1
100%
– The quotient does not have the % symbol.

 To divide by 100 mentally, move the decimal

point two places to the left.

37% = 37% ÷ 100% = .37 = 0.37

Examples:
127% = 127% ÷ 100% = 1.27

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 Write the percent as a
HOW TO: fraction or mixed number
Section 6-1 Percent Equivalents

 In multiplying fractions, reduce or cancel common

factors from a numerator to a denominator.
– Percent signs also cancel.
 Division is the same as multiplying by the
reciprocal of the divisor.
– Similarly, % ÷ % = 1

65% 1 13
Example: 65% = 65% 100% = x =
1 100% 20

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6-2 Learning Outcomes

 Identify the rate, base, and portion in percent

problems.
 Use the percentage formula to find the unknown
value when two values are known.

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 Identify the rate, base and
6-2-1 portion in percent problems
Section 6-2 Solving Percentage Problems

In the formula P = R x B:

P refers to portion.
It represents a portion of the base.
B refers to the base.
The original number or one entire quantity.
R refers to rate.
A percent that tells us how the
base and portion are related.
To find the portion, multiply the rate by the base.
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 An Example…
Section 6-2 Solving Percentage Problems

60 people are registered for this course,

and 25% are Spanish-speaking.
What number of students are Spanish-speaking?

Identify the base; identify the rate.

Use the solution plan to find the answer.

What are you looking for?

The number of Spanish-speaking students
What do you know?
The base is 60 (rate); and the rate is 25% or
0.25.
Solution plan; Solve.
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P = 60 x 25% (or .25); P = 15
 Examples…
Section 6-2 Solving Percentage Problems

 If 40% of the registered voters in a community

of 5,600 are Democrats, how many voters are
Democrats?
– 2,240
 If 58% of the office workers prefer diet soda
and there are 600 workers, how many prefer
diet soda?
– 348

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 Identify the rate, base and
portion in percent problems
Section 6-2 Solving Percentage Problems

In the formula P = R x B:
 To find “B,” change the formula to: B = P/R.

To find the original number,

divide the portion by the rate.

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 An Example…
Section 6-2 Solving Percentage Problems

Forty percent, or 90 diners preferred

outdoor seating at the new restaurant.
How many diners were interviewed in all?
What are you looking for?
The total number of diners surveyed.
What do you know?
The portion (90) and the rate (40%)
Solution plan; Solve.
Base = P/R; Base = 90/.40; B = 225
Conclusion.
225 diners were interviewed.

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 Examples…
Section 6-2 Solving Percentage Problems

 1700 dentists attending a convention last month

prefer fluoride treatments for preschoolers—that’s
4 out of every 5 dentists. How many dentists
attended in all?
– 2,125
 80%, or 560, of our current clients take advantage
of our cash discount program for prompt payment.
What is our current client base?
– 700

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 Identify the rate, base and
portion in percent problems
Section 6-2 Solving Percentage Problems

In the formula P = R x B:
 To find “R,” change the formula to: R = P/B.

To find the rate, divide the

portion by the base.

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 An Example…
Section 6-2 Solving Percentage Problems

55 insurance agents were able to meet with their

clients to inform them of policy changes.
Of 220 agents, what percent does this represent?
What are you looking for?
The percent of rate of agents that talked to their clients.
What do you know?
The base or total number of agents, and the portion that talked
to their clients.
Solution plan; Solve.
R = P/B; R = 55/220; B = .25
Conclusion.
25% of the agents talked to their clients.

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 Examples…
Section 6-2 Solving Percentage Problems

 The plant foreperson reported that 873 of the 900

items tested met the quality control specifications
for production. What is the rate of acceptable
items?
– 97%
 In the new product focus group, 6,700 of the
8,375 customers rated the product as “very
good” or “superior.” What was the rate?
– 80%

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 Identify the rate, base and
portion in percent problems
Section 6-2 Solving Percentage Problems

 You may need find one of the elements—rate,

base or portion—when you know the other two.
– “Read” the problem to identify the missing element.

Example:
30% of 70 is what number?
30% is the rate.
70 is the base.
You are looking for “P” or portion.
P = R x B P = 0.3 x 70 = 21

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 Use the percentage formula to find the
6-2-2 unknown value when two values are known.
Section 6-2 Solving Percentage Problems

 You may need find one of the elements—rate,

base or portion—when you know the other two.
– “Read” the problem to identify the missing element.

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 Use the percentage formula to find the
unknown value when two values are known.
Section 6-2 Solving Percentage Problems

Identify what’s missing and then solve

the problem using the correct formula.

60 is what percent of 80?

R = P/B R = 60/80 = 75%

35% of 350 is what?

P = R x B P = 0.35 x 350 = 122.5

25% of what number is 125?

B = P/R B = 125/.25 = 500

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6-3 Learning Outcomes

 Find the amount of increase or decrease in

percent problems.
 Find the new amount directly in percent problems.
 Find the rate or the base in increase or decrease
problems.

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 Find the amount of increase or
6-3-1 decrease in percent problems
Section 6-3 Increases and Decreases

Examples of increases in business

applications include:

Sales tax
Raise in salary
Markup on a wholesale price

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HOW TO: Find the amount of increase
Section 6-3 Increases and Decreases

Amount of increase = new amt. – beg. amt.

Example:
Joe’s salary has been $400 a week.
Beginning next month, it will be $450 a week.
The amount of increase is $50 a week.

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 Find the amount of increase or
6-3-1 decrease in percent problems
Section 6-3 Increases and Decreases

Examples of decreases include:

Payroll deductions
Markdowns
Discounts on sale items

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HOW TO: Find the amount of decrease
Section 6-3 Increases and Decreases

Amount of decrease = beg. amt. – new amt.

Example:
Roxanne’s new purse originally cost $60,
but was on sale when she bought it on
Saturday for $39.99. The amount of
decrease (or markdown) is $20.01.

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 Percent of change
Section 6-3 Increases and Decreases

 The amount of change is a percent of the

original or beginning amount.
 Find the amount (increase or decrease) from a
percent of change by:
– Identifying the original or beginning amount
and the percent or rate of change.
– Multiplying the decimal equivalent of the rate
of change by the original or beginning
amount.

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 Percent of change
Section 6-3 Increases and Decreases

Your company has announced a 1.5% cost of

living raise for all employees next month.
Your monthly salary is currently $2,300.
Starting next month, what will your new salary be?
Current salary = $2,300 a month
Rate of change = 1.5%
Amount of raise = Percent of change x original amount
.015 x $2,300 = $34.50 a month
Add $34.50 to the original amount of $2,300 to identify the
new amount.
New amount = $2,334.50
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 Find the new amount
6-3-2 directly in percent problems
Section 6-3 Increases and Decreases

 Often in increase or decrease problems, we are

more interested in the new amount than the
amount of change.
– Find the new amount by adding or subtracting|
percents first.
– The original or beginning amount is always
considered to be the base, and is 100% of itself.

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 Find the new amount directly
HOW TO: in a percent problem
Section 6-3 Increases and Decreases

 Find the rate of the new amount.

– For increase: 100% + rate of increase.
– For decrease: 100% - rate of decrease.
 Find the new amount.
– P=RxB
– New amount = rate of new amt. x original amt.

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 Find the new amount directly
HOW TO: in a percent problem
Section 6-3 Increases and Decreases

Medical assistants are to receive a 9% increase in

wages per hour. If they were making $15.25, what is
the new per hour salary to the nearest cent?
Rate of new amount = 100% + rate of increase

Rate of new amount = 100% + 9% = 109%

New amount = $15.25 x 109%

Change 109% to its decimal equivalent:

1.09 $15.25 x 1.09 = $16.6225 = $16.62

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 Find the new amount directly
HOW TO: in a percent problem
Section 6-3 Increases and Decreases

A new pair of jeans that costs

$49.99 is advertised at 70% off.
What is the sale price to the nearest cent of the jeans?
Rate of new amount = 100% - rate of decrease
= 100% - 70% = 30%

New amount = rate of new amt. x original amt.

New amount = 30% x $49.99
New amount = 0.3 x $49.99 = $14.997
New amount = $15.00 (nearest cent)

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 Examples…
Section 6-3 Increases and Decreases

 The property taxes at your business office will

go up 5% next year. Currently, you pay $3,400.
How much will you pay next year?
– $3,570

 A wholesaler is offering you a 20% discount if you

purchase new inventory before the 15th of the
month. If your normal invoice is $3,600, how much
would you pay if you got the discount?
– $2,880

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 Find the rate or the base in
6-3-3 increase or decrease problems
Section 6-3 Increases and Decreases

 To find the rate of increase or decrease, use the

percentage formula: R = P/B
– Rate = amount of change ÷ original amount
 To find the base or original amount, use the
percentage formula: B = P/R
– Base = amount of change ÷ rate of change

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 An Example…
Section 6-3 Increases and Decreases

During the month of May, a graphic artist made a profit

of $1,525. In June, she made a profit of $1,708.
What is the percent of increase in profit?
What are you looking for? What do you know?
Percent of increase in profits.
Original amt. = $1,525; New amt. = $1,708.
Solution plan.
Find amount of increase; Find percent of increase; B = .25
Solve.
$1,708 – $1,525 = $183; $183 ÷ $1,525 = 0.12 = 12%
Conclusion.
The rate of increase in profit is 12%.

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 Examples…
Section 6-3 Increases and Decreases

 A popular detergent cost $5.99 last Saturday, but

today the same detergent costs a$7.50. What is
the rate of increase?
– 25.2%

 Sales in the East Region were $10,800 in January

and dropped to $9,700 in February. What is the
rate of decrease from January to February?
– 10.2%

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Exercises Set A

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 EXERCISE SET A

Write the decimal as a percent.

2. 0.82
0.82(100%) = 82%

4. 0.34
0.34(100%) = 34%

6. 1
1(100%) = 100%

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 EXERCISE SET A

Write the decimal as a percent.

8. 0.37
0.37 = 0.37(100%) = 37%

10. 4
4 = 4(100%) = 400%

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 EXERCISE SET A

Write the fraction or mixed number as a

percent. Round to the nearest hundredth of a
percent if necessary.
6 1 3
12. 14. 16. 2
100 10 5
6 1 3 13
(100%) (100%) 2  (100%)
100 10 5 5
6% 10% 260%

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 EXERCISE SET A

Write the percent as a decimal.

98%
18. 98% 0.98
100%

20. 91.7% 91.7%

0.917
100%

22. 6% 6%
0.06
100%

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 EXERCISE SET A

Write the percent as a whole number, mixed

number, or fraction, reduced to lowest terms.

24. 6% 6% 6 3
 
100% 100 50

45% 45 9
26. 45%  
100% 100 20

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 EXERCISE SET A

Percent Fraction Decimal

1 1
28. 33 % 0.33
3 3

4
30. 80% 0.8
5

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 EXERCISE SET A

Find P, R, or B using the percentage formula or one of its

forms. Round decimals to the nearest hundredth and
percents to the nearest whole
number percent.

32. P = 25, B = 100 34. P = $835, R = 3.2%

P P
R B
B R
25 $835
R B
100 0.032
R 25% B $26,093.75

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 EXERCISE SET A

Find P, R, or B using the percentage formula or one of its

forms. Round decimals to the nearest hundredth and
percents to the nearest whole
number percent.

36. Find 30% of 80 38. 51.52 is what percent of

2,576? P
P RB R
B
P 0.3(80) 51.52
R
P 24 2,576
R 2%

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 EXERCISE SET A

40. Eighty percent of one store’s customers paid

with credit cards. Forty customers came in that
day. How many customers paid for their
purchases with credit cards?
P = RB
P = 0.8(40)
P = 32 customers

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 EXERCISE SET A

42. Thirty-seven of 50 shareholders attended a

meeting. What percent of the shareholders
attended the meeting?
P
R
B
37
R
50
R 0.74(100%)

R 74%

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 EXERCISE SET A

44. Chloe Denley’s rent of $940 per month was

increased by 8%. What is her new monthly rent?
Rate of new amount = 100% + rate of increase
= 100% + 8%
= 108%
New amount = rate of new amount  original
amount
= 108%($940)
= 1.08(940)
= $1,015.20

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 EXERCISE SET A

46. Global wind energy had a record growth in a recent

year, achieving a level of 159,213 megawatts. Some
in the industry project the global wind capacity to be
1,900,000 megawatts in 2020. What is the percent
increase in additional megawatts projected for the
global market? Round to the nearest tenth percent.
Amount of increase = 1,900,000  159,213
= 1,740,787
1,740,787
Percent of increase = (100%)
159213
1093.4%

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Practice Test A

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 PRACTICE TEST

Write the decimal as a percent.

2. 0.925
0.925(100%)= 92.5%

4. According to a recent Cone Business in Social

Media study, 0.93 of Americans believe a
company should have a presence on social
media sites. Express the decimal as a percent.
0.93(100%) = 93%

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 PRACTICE TEST

Write the fraction as a percent.

21 1
6. Write
8. % as a fraction.
100 4
1
21 % 100%
(100%) 4
100
1 1  1
21%    
4  100  400

10. Recent data about Facebook usage shows that

40.8% of account holders are age 18–24. Represent
this percent as a fraction.
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 PRACTICE TEST

10. Recent data about Facebook usage shows that

40.8% of account holders are age 18–24.
Represent this percent as a fraction.
40.8%
0.408
100%

408 51

1,000 125

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 PRACTICE TEST

Use the percentage formula or one of its forms.

12. 50 is what percent of 20?

P
R
B
50
R
20
R 2.5(100%)

R 250%

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 PRACTICE TEST

Use the percentage formula or one of its forms.

14. What is the sales tax on an item that costs $42 if

the tax rate is 6%?
P = RB = 0.06($42) = $2.52

16. Twelve employees at a meat packing plant were

sick on Monday. If the plant employs 360 people,
what percent to the nearest whole percent of the
employees was sick on Monday?
P 12
R  0.03333 3%
B 360
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 PRACTICE TEST

Use the percentage formula or one of its forms.

18. The Lawson family left a 15% tip for a restaurant

check. If the check totaled $19.47, find the amount
of the tip. What was the total cost of the meal,
including the tip?
P = RB
= 15%($19.47)
= 0.15(+19.47) = $2.92 tip

Total bill = $19.47 + $2.92

= $22.39
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 PRACTICE TEST

Use the percentage formula or one of its forms.

20. The recent estimated total expenditure on a child

by husband–wife families with an average income of
$76,520 was $221,190, and $69,660 was projected
for the child’s housing cost. What percent of the total
expenditure was projected for housing? Round to
the nearest tenth percent.

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 PRACTICE TEST

Use the percentage formula or one of its forms.

22. Of the 26 questions on this practice test, 17 are

word problems. What percent of the problems are
word problems? (Round to the nearest whole
number percent.)

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 PRACTICE TEST

Use the percentage formula or one of its forms.

24. Byron Johnson took a pay cut of 5%. He was

earning $148,200 annually. What is his new annual
salary?
Rate of new amount = 100% - rate of decrease
= 100% - 5%
= 95%
New amount = rate of new amount  original
amount
= 95%($148,200)
= 0.95($148,200)
= $140,790Copyright © 2014, 2010, 2007 Pearson Education, Inc. 63
 PRACTICE TEST

Use the percentage formula or one of its forms.

26. Sony decided to increase the wholesale price of
its DVD players by 18% to $320. What was the
original price rounded to the nearest cent?
Rate of increased price = 100% + 18%
= 118%
increased price
original price =
rate of increased price
$320

118%
$271.1864 $271.19
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