Percent increase and decrease: tax, tips, discounts

About this lesson

Grade 7 › Percentages

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Percent increase and decrease: tax, tips, discounts

Percentages. percent, percent increase, percent decrease, discount, sales tax, tip, percent error

Warm-up

Three quick questions from earlier lessons.

Discover

A 60-dollar coat is 10% off. What do you pay?

  1. 54 dollars
  2. 6 dollars

Key idea

Increase: add; decrease: subtract, always a percent of the original.

An increase of p%p\% gives (100+p)%(100 + p)\% of the original; a decrease gives (100−p)%(100 - p)\%. Tax and tips are increases, discounts are decreases. Percent change = change ÷ original × 100.

Worked example

Price from 40 to 46 dollars.

66
Change.
0.150.15, a 15% increase
6 ÷ 40.

Your turn, guided

Your turn: 80 dollars plus 5% tax. The total.

8484
80 · 1.05.

Practice ★

  1. A 160-dollar jacket's price goes up by 40%. What is the new price (dollars)?
  2. A 300-dollar jacket's price goes up by 20%. What is the new price (dollars)?
  1. A 320-dollar game is 35% off. What is the sale price (dollars)?

Watch out!

Practice ★★

  1. A town grew from 280 to 518 people. By what percent did it grow?
  2. A town grew from 260 to 468 people. By what percent did it grow?
  1. Boss problem. A meal costs 120 dollars. The sales tax is 10% and you leave a 20% tip on the price before tax.

Exit ticket

Three questions to check you have got it.

  1. A 160-dollar jacket's price goes up by 40%. What is the new price (dollars)?
  2. A 300-dollar jacket's price goes up by 20%. What is the new price (dollars)?
  3. A 60-dollar jacket's price goes up by 60%. What is the new price (dollars)?

Summary card

Percent increase and decrease

New = (100±p)%(100 \pm p)\% of the original; change ÷ original for the percent.

Watch out: the base is the original amount.

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