1. Discounts, Tips, and Sales Tax
Applying Percents
Discounts, Tips, and Sales Tax

2. Discounts
A discount is an amount that is subtracted from the regular price of an item. Discount = Price * Discount Rate Total Cost = Price - Discount

3. Tips
A tip is an amount added to a bill for service. Tip = Bill * Tip Rate Total Cost = Bill + Tip

4. Sales Tax
Sales tax is an amount added to the price of an item. Sales Tax = Price * Sales Tax Rate Total Cost = Price + Sales Tax

5. Example 1
A music store sign reads “10% off the regular price.” If Nichole wants to buy a CD whose regular price is $14.99, about how much will she pay for her CD after the discount?
Step 1: Round $14.99 to $15
Step 2: Find 10% of $15 by multiplying 0.10 * $15 = $1.50
Step 3: Find the total cost after the discount
$ $1.50 = $13.50

6. Example 2
Leslie’s lunch bill is $ She wants to leave a tip that is 15% of the bill. About how much should her tip be? Step 1: First round $13.95 to $14 Step 2: Think 15% of $ * $14 = $2.10 The tip should be about $2.10

7. Example 3
Marc is buying a scooter for $ The sales tax rate is 6%. About how much will the total cost of the scooter be? Step 1: First round $79.65 to $80. Step 2: Think 6% = * $80 = $4.80 The approximate sales tax is $4.80. The price of the scooter is about $80. The total cost with tax will be $80 + $4.80 = $84.80

8. Think
When would it be useful to estimate the percent of a number? How do you estimate the sales tax of an item?

9. Example 4 (on your own)
Norine wants to buy a beaded necklace that is on sale for 10% off the marked price. If the marked price is $8.49, about how much will the necklace cost after the discount?

10. Example 5 (on your own)
Alice and Wagner ordered a pizza to be delivered. The total bill was $ They want to give the delivery person a tip that is 20% of the bill. About how much should the tip be?

11. Example 6 (on your own)
A bicycle sells for $ The sales tax rate is 8%. About how much will the total cost of the bicycle be?