1. EXAMPLE 1
Finding a Sale Price
You are shopping for a guitar and find one with an original price of $160. The store is offering a 30% discount on all guitars. What is the sale price of the guitar?
Guitars

2. Find the amount of the discount.
EXAMPLE 1
Finding a Sale Price
SOLUTION
STEP 1
Find the amount of the discount.
Discount =
30% of $160
0.3(160) =
Write 30% as a decimal. 48 =
Multiply.
STEP 2
Subtract the discount from the original price.
160 – =
ANSWER
The sale price of the guitar is $112.

3. Find the amount of the markup.
EXAMPLE 2
Finding a Retail Price
Clothing
A shirt has a wholesale price of $16. The percent markup is 120%. What is the retail price?
SOLUTION
STEP 1
Find the amount of the markup.
Markup
120% of $16 =
1.2(16) =
Write 120% as a decimal.
19.2 =
Multiply.

4. EXAMPLE 2
Finding a Retail Price
Add the markup to the wholesale price.
STEP 2 16 +
19.2
35.2 =
The retail price of the shirt is $35.20.
ANSWER

5. EXAMPLE 3
Finding a Retail Price
A portable CD player costs $48 before tax. The sales tax is 4.5%. What is the total cost?
CD Player
SOLUTION
STEP 1
Find the amount of the sales tax.
4.5% of $48 =
0.045(48)
2.16
STEP 2
Add the sales tax to the price of the portable CD player.
2.16 + 48 =
50.16

6. EXAMPLE 3
Finding a Retail Price
ANSWER
The total cost of the CD player is $50.16.

7. EXAMPLE 4
Solve a Multi-Step Problem
Your food bill at a restaurant is $24. You leave a 20% tip. The sales tax is 6%. What is the total cost of the meal?
Restaurants
SOLUTION
STEP 1
Find the amount of the tip.
20% of $24 =
0.20(24)
4.8
STEP 2
Find the amount of the sales tax.
6% of $24 =
0.06(24)
1.44

8. EXAMPLE 4
Solve a Multi-Step Problem
STEP 3
Find the total cost of meal. =
30.24
The total cost of the meal is $30.24.
ANSWER