The City School

Academic Year 2020-21

Class 8-Term 2
Subject: Mathematics
Topic: Percentages
Worksheet # 07-B

Student’s Name: Date:

Objective:
By completing this worksheet, you will be able to:

 Solve real life word problems involving commission & VAT/Tax.

Following formulas will be recalled for solving real life problems involving profit, loss
and discount.

𝑷𝒓𝒐𝒇𝒊𝒕 = 𝑺𝒆𝒍𝒍𝒊𝒏𝒈 𝑷𝒓𝒊𝒄𝒆 − 𝑪𝒐𝒔𝒕 𝑷𝒓𝒊𝒄𝒆

𝑳𝒐𝒔𝒔 = 𝑪𝒐𝒔𝒕 𝑷𝒓𝒊𝒄𝒆 − 𝑺𝒆𝒍𝒍𝒊𝒏𝒈 𝑷𝒓𝒊𝒄𝒆
𝑫𝒊𝒔𝒄𝒐𝒖𝒏𝒕 = 𝑴𝒂𝒓𝒌𝒆𝒅 𝑷𝒓𝒊𝒄𝒆 − 𝑺𝒂𝒍𝒆 𝑷𝒓𝒊𝒄𝒆

 To express the profit or loss as a percentage of the cost price, we use:

𝑷𝒓𝒐𝒇𝒊𝒕 𝑳𝒐𝒔𝒔
× 𝟏𝟎𝟎% 𝒐𝒓 × 𝟏𝟎𝟎%
𝑪𝒐𝒔𝒕 𝑷𝒓𝒊𝒄𝒆 𝑪𝒐𝒔𝒕 𝑷𝒓𝒊𝒄𝒆
 The discount is often given as a percentage of the marked price:
𝑫𝒊𝒔𝒄𝒐𝒖𝒏𝒕
× 𝟏𝟎𝟎%
𝑴𝒂𝒓𝒌𝒆𝒅 𝑷𝒓𝒊𝒄𝒆

A commission is the payment an agent receives for selling and

buying something on the behalf of another party.

Tax is money that people have to pay to the

government. Taxes are used to pay for people who
work for the government, such as the military and
 police, provide services such as education and health care, and to maintain or build
things like roads, bridges etc.

 Learn more about commission and tax from pages 117-123 of D3 7th Edition.

 Watch the video using the given link for a better understanding of the topic.
https://www.khanacademy.org/math/cc-seventh-grade-math/cc-7th-fractions-decimals/cc-7th-
percent-word-problems/v/tax-discount-and-tip-examples

Q1. The printed price of a bi-cycle is $4200. The rate of sales tax on it is 10%. Find
the price at which the cycle can be purchased.

Q2. Musa purchased a pair of shoes costing Rs. 850. Calculate the total amount
to be paid by him, if the rate of Sales Tax is 6%.

Q3. Sara bought a printing machine for $5136, which includes sales tax. If the listed
price of the printing machine is $ 4800, what was the rate of sales tax?
Q4.Diya is buying a cheese wheel priced at dollar sign, $650 before tax. The store
charges 8% sales tax. What is the total price, including tax, Diya pays for the cheese
wheel?

Q5. A handbag has a value added tax of 18% imposed on it. If the marked price of
the bag is Rs. 2400, Calculate the total amount Sana has to pay if she wants to buy
it.

Q6. A computer salesman earns a 5.5 % commission on each sale. If he sells 5

computers in one week for a total of $ 15500, how much commission does he earn?

Q7. A pharmaceutical sales rep receives 3.5 % commission for selling medication to
physicians. If he sells $22500 of medication, then how much commission will he
earn?
Q8. A departmental store pays an interior designer a 25% commission for sales.
How much will the departmental store have to pays the interior designer if her
weekly sales are $1875?

Q9. A wholesale food rep earns a 3.25% commission on sales. If her annual sales is
$35000, how much commission will she earn?

D3 – 7th Edition
Practice Now 10 – Page 123 Q1-2
Chapter 5 – Page 123
Exercise 5B Q 4-7

Master your skills of calculating commission and tax by practicing more using the
give link.

https://www.mathgoodies.com/lessons/percent/commission

https://www.mathgoodies.com/lessons/percent/sales_tax