BUSINESS MATH Percents 1 2 3 4. Solve word probl 5. Find percents of increase and decrease, 6. Use proportions to solve percent problems SECTION 1: PERCENTS, DECIMALS, How Each Advertising Peso is Spent AND FRACTIONS at RastAsia industries EastAsia Industries used the circle graph at the Sf smc, right to show how they spent their advertising ~—" Woiting Decimals as Percents Rage} budget. The chart shows that they spent 35% of { 30% their advertising budget on TV advertising, cues 4 b a me a Businesses use percents to show budgets, “ changes in revenue of operating expenses, Television axes, profits, interest on investments, and other 38% data. 4 percent is a relationship that compares a number to 100. Pereent (%) means per one .. hundred. For example, 35% (35 percent) means 35 parts out of 100, ot i E d that they spent 0.25 of their When preparing the pie chart, EastAsia Industries determine spent r budget on rewspaper ads, 0.10 on direct mail, 0,30 on radio, and 0.35 on TV ads, Then they wrote the decimals as percents, as shown in the chact, wanes Writing Decimals as Percents Step 1 Multiply the decimal by 100. Add zeros as placeholders if necessary. "| Step2 Place a percent symbol at the end of the number. percent symbol atthe end of the nur —1pment, 9 128 | Mati fn the Business World Percents can be greater than 100% or Jess than 1%, When yon write dechnals such ag 1.35 and 0.0025 as porenis, be sure to move the decimal! place to the right only two places, EXAMPLE 4 Write each decimal as a percent. a 0.37 b 07 c. 0,083 ao 4 Stept Step 2 a, 0.37 0.37, 37% er b, 07 02g, 70% Add zero as @ placeholder. c 0.0832 0.0831 8.31% a, 14 1.49, 140% Addzero as a placeholder. PRACTICE PROBLEM 1 Write each decimal as a percent. a 0.24 b 03 c. 0.0647 d 3.6 SOLUTION 1 a. O24= 24% b. 0,3 = 03-30% c. 0.0617 = 6.17% d, 3.60 = 360% va ve) Writing Fractions as Percents Sports clothing represents 2 of the total sales for Akse! Sporting Goods. The sales manage. . . 3, can also use percents instead of fractions to represeat the sales figures. For example, gis written as 37.5%, ‘Writing Fractions as Percents Step4 Write the fraction as a decimal (divide the numerator by the denominator), Write a mixed number as an improper fraction before dividing. Step2 Write the decimal as a percent. Round the percent te the desired place vaiue. .0 SA Percents | 129 EXAMPLE 2 Write each fraction as a percent,a, 2 4 B ss Step 1 Step 2 5 Suge a 3 +8=0.625 0635 = 62.5% u 7 bods 149s 140% ‘Notice that the fraction 12 is, wan Lan i seater than toe” EEE renter than Sand the percent (440%) PRACTICE PROBLEM 2 Write each fraction as a percent. a b. 8 gly alte SOLUTION 2 a 74 20=0,35 = 35% b. 2728=3.375 = 337.5% You can use a calculator to write fractions as percents. EXAMPLE 3 a Use a calculator and the percent key to write Z as a percent. Round your result to ‘the nearest tenth, 2 [e] 9 [% ] 222222222 > 22.2% fen 22 PRACTICE PROBLEM 3 Use a calculator to write —- as a percent, Round your result to the nearest tenth, SowTION3 13 [2] 225 [% ]5.7777777 —> 5.8% Writing Percents as Decimals : decide what kinds of news stories to ATTY station uses demographic data to help them cover in theit ‘four ows broodcests each day. They found that 63% of the populationAR pei Ane Ae TN > 130 | Math in the Business World watched the eews about the earthquake in April 2018. To figure out how mmiay of thay Vaewsts Would closely follow the carthquake story, they would bave to write 63% as | decimal. You can write 63% as a decimal by dropping the percent syrabol and dividing by 100 (03% + 100 * 63 * 0.63). ‘Ta compute with percents, you need to write them in decimal of fraction form. You cm use the following steps to write a percent ae a decimal. Writing Percents as | Step Remove the percent symbol from the number, Divide the percent by | 100, Use zeros as placeholders if necessary. Step 2 Round the number to the desired place value. - EXAMPLE 4 Write each percent asa decimal. », 24% b, 2.3% Step 1 Step 2 a 24% Rae 0.24 bd. 2.3% 22,3% 0.023 Add tero a8 a placeholder. PRACTICE PROBLEM 4 Write each percent as a decimal. a 42% b. 5.4% SOLUTION 4 a 3% = 0.42 db 5.4% 03.4% = 0.054 If you are given a percent written in fractional form, such as 93%, you need to write the fraction in decimal form before you write the percent as a decimal. Writing Fractional Percents as Decimals Step1 Change the fractional percent to a decima! percent by dividing. Step2 Remove the percent symbol. Divide the percent by 100. Add zeros as placeholders if necessary.Percents | 134 EXAMPLE 5 write each percent as a decimal. Round the decimal to the nearest ten thousandttt. agi b. ie Step 1 Step2 Step3 2, 9.75% a oe 8: 09.75% 0.0975, . LL 3 38 : 93= 239442 9.75 bo & 0.333% 0.333% 9.0033 tase 1+3=0,333 ‘The bar means the digit 3 repeats. PRACTICE PROBLEM 5 Write as a decimal. Round the decimal to the nearest ten thousandth. 32% SOLUTION 5 326 #2949 © 3,.222%5,93.222% = 0.0322 Writing Percents as Fractions ‘The manager of the Agatha Resort computes month-end figures showing the revenue soutce in pesos, as a percent of the total revenue, and asa fraction. The manager anticipates an inerease in revenue. To find expected revenue from ride tickets, she can multiply $ times her total expected revenue for next month. Monthly Revenue for Agatha Resort Revenue Source Amount Percent Fraction 1 Lodging 499,500 33.3% ; 4 Ride Tickets 378,000 25.0% 3 a Food Service 250,000 16.7% : 2 Merchandise 250,000 16.7% : 1 Swimming lessons | 124,500 83% 5132 | Math in the Business World ccasammoatutntas Forsome percents, such as 25% and 333%, itis often easier to work with the percent writte, in fraction form, rather than in dacimal form, You can use the following steps to weite g percent as a fraction. Writing Percents as Fractions Step1 Replace the percent symbol with a denominator of 400. | Step2 Write the fraction in lowest terms. } EXAMPLE 6 Write each percent as a fraction, a 34% b. 12% G 105% d. 8% Step 1 Step 2 a. 34% * aU 1900 50 D. gptyg 12S _ 125 4 2 100 “1000 8 Multiply the numerator and denominator by 10. c. 105% 105 -15 212 100 100 20 4. 8% 8 2 400 “35 PRACTICE PROBLEM 6 Write 64% asa fraction. SOLUTION 6 eam = £4 18 100 25SASL Ee Percents | 133 The following chart shows cortamon uc ions and their decimal and percent equivalents, Fraction, Deci : ‘Of, Decimal, and Percent Equivalents =: = 4 5 7950= 50% = 0.80 = 80% a = 1a y= 0385 or0.a3+ = 3 3 8 or 0.335 385% 5 ¥ 0.60 = 60% | 2 = 222 | 5 0.66 Se z 378 Or 0.665 685% & 70.167 = 16.7% 1 5 = 0.25225% 2 4 6 3 7 70.755 75% : a a 1 3 J =0.20= 20%, z 3 a 2 : = =0.40= 40% 7 5 3 2 <0875=87! a7 875 = 87 3 % Estimating Percents ‘You can use the equivalent chart above to help estimate percents, For example, 48.3% is Clase to 50%, so you can use 3 as an approximation of 48.3%, . EXAMPLE 7 Of the top three best-selling vehicles of Airon Dealership, 35.69% were Toyota Innove. a. Estimate to find a fraction close to 35.69%. D. Estimate to find a percent close to ¢ 35.69% is close to 33.3%, so you can approximate 35.59% with 3. boa : 4 ahi 1 6 4 ig approxi is close tod, which equals’. So, Lis approximately 25%. PRACTICE PROBLEM 7 a, Estimate to find a fraction close to 84.772%. b._ Estimate to find a percent close to. SOLUTION 7 8. 84,772% Is close to 80% or ¢. b. His lose to 32 or 5 which is 50%,. . percents | 137 ATER Si pssst DETTE SECTION 2: ALGEBRA: USING THE PORTION FORMULA Finding the Portion Cell Tech Company conducted the survay shown below on its tenth anniversary. "They surveyed 660 people. ‘You cen use an equation to find the number of people surveyed who would be more willing vw help a stranger. Suppose s is the number of people who would be more willing to kelp stranger. Then s+ = 90% x 660 090x660 Write the percentas a decimal, Safety & Help Security __Stromgers Roadside Medical Assistance _ Emergencies 594 Alll percent problems involve three quantities, the base (B), the portion (P), and the rate (®), The base is the original ammount to which another amount is being compared. In the celtular-phone example, the base is the number of people surveyed, or 660. The portion isa part of the base found by multiplying the rate times the base, The portion ca, however, be greater than the base, The portion in this example is 594. The rate is a percent indicating the relationship of the portion to the base. In this example, the rate is 90%. These quantities are related by the portion formula: PERXB ‘The portion formula can be represented in the circle chart below. Any one of the variables can be found by placing your finger over the suissing variable and using the remaining formula: P=RKB When using the portion formula, write the rate as a decimal or fraction, Note that if the Fats is greater than 100%, the portion will be greater than the hase‘ 138 | Math in the Business World EXAMPLE 1 Find 23% of 800. The base is 800 and the rate is 23%. P=RxB P= 23% x 860 Estimate. 800 x j = 200 P=0.23 x 800 Write 23% asadecimal. P= 184 Reatonably close ta the estimate, we soo[x] 23 [2%] «% [=] 164 “creck PRACTICE PROBLEM 1 Find 0.4% of 825. SOLUTIOND =P = RxB P 0.4% x 825 P = 0.004 x 825 =3.: 0 Finding the Rate ‘When Cell Tech conducted their phone survey, 660 people out of the 1,200 contacted were ‘willing to answer the questions. To find the percent of those contacted who answered the survey, use the portion formula. EXAMPLE 2 660 is what percent of 1,200? Use the portion formula to solve. The portion is 660, and the base is 1,200. P = RKB 660 = Rx1,200 660 600 200 = R Estimate. 7100727 R = 0.55=55% Write the rateas a percent, The snswer Is reasonably close to the . “ estimate. we 660 [=] 1200 [2nd] [%] [=] $5 or55% v chem PRACTICE PROBLEM 2. SOO is what percent of P5407 Round to the nearest tenth of @ percent.Percents | 139 ett ens cnAEcRineSesnesheesne SR SOLUTION 2 P= RxB 500 = Rx 540 sto er 540 R = 0.9259 or 92.6% Finding the Base Cell Tech conducted a survey last year in which they contacted 1.2% of their subscribers, 04,566 people. You can use the portioa formula to find how many subscribers they have. EXAMPLE 3 The figure 4,566 is 1.2% of what number? The portion is 4,566 and the rate is 1.2%, P= RxB 4,566 = 1.2% xB Write 1.25 as decimal. 4506 4,800,000 _ ais 2 Estimate, Goi = “37% = 400,000 & = 380,500 Reasonably close to the estimate, gs 4566 PRACTICE PROBLEM 3 The figure 0.6 is 150% of what number? | 12 [2nd] [%] [2] 380500 v cheek SOLUTION 3 Po = RxB = 150% B> , = 8B B= OALEELA E EE 5 UCS#F i I} Percents. | 143 ST Ft i TOTES SECTION 3: PROBLEM SOLVING AND APPLICATION: USING PERCENTS Every yout the financial manager at Pacific Industries invests 15% of the carapany profits in software research and development. ‘This year's profits totaled P1,300,000. To find the amount of money to invest in research and development (R&D), the company financial planner asked the question, What is 15% of P1,300,000? ‘Use the four-step method (Read, Plan, Solve, and Check) to solve percentage problems. If you are not using a calculator, write the rate as a decimal or fraction before solving. EXAMPLE 1 Find the amount of money the financial planner at Pacific will Invest this year in R&D. Step — Given; The base is P1,300,000. Read ‘The rate is 15%. Find: Theportion ~ * | Step2 What number is 15% of 1,300,000? Plan, Step? P= RxB i Solve P = 15% x 1,300,000 _ Estimate. 0.15 x 1,000,000 = 150,000 1 P = 0.15 x 1,300,000 Write 15% as adecimal. Pp = 195,000 | Step4 P= BxR Check by using the portion formula, Check 1300000 [x] 15 [%] 195000% Use acaleulator to check your work, The answer is reasonably close to the estimate, and both computations produced the same result. The financial planner will invest P195,000. PRACTICE PROBLEM 1 According to Alem Research, Inc., 12.8% of industrial rental space is vacant in a province. If 18.8 million square meters of space are available for rent, how many square meters are vacant? SOLUTION’ © P = RxB P = 0.128 x 18,800,000 P = 2,406,400 2,406;400 m? are available.144 | Moth in the Business World The table below shows the aumber of franchises for ten franchisers. To find the percent of | the franchises that are classified as fast-food restaurants, you can use the portion formula \ Once you have catculated the decimal value of R, you can write it as a percent, by multiplying the decimal by 100 and writing a percent symbol. Ten Franchisers, By Number of Franchises Franchise Business Number of Franchises { 4. 24Seven convenience stores 9,536 \ | 2 Crispy chicken fast-food restaurants, 9,140 \ 3. Sandwich Galore fast-food restaurants 6,887 1 4. Uno Realty real estate brokers 6,150 i 5. Hamburgers Delight | fast-food restaurants 5,428 i | 6 Dairy Supreme ice cream stores 5,342 : % Best Tax Consulting tax preparation centers 4,964 } 8. Be Fit, ine dance fitness centers 4,782 { . Delicious Pizza | pizza, delivery, and takeout 4,315 i (20. Al-Ciean commercial leaning services 4.076 * 4 EXAMPLE 2 { Step 1 Given: Crispy Chicken, Sandwich Galore, and Hamburgers Delgnt are Read considered fast-food franchises. j 4 Find; The total number of fast-food franchises (the portion), Total umber of all restaurant franchises (the base). The percent of franchises classified as fast-food restaurants. : Step 2 Find the rate using portion formula P= A & B. Pion Step3 9140 [+ | 6857 5428 [= ] 21425 Portion Solve a 9536 [+] 9190 [+ ] 6as7 [+ 5342 [+] 6a [+] 472 [4 ] ants s1so [¥] saze i + | 4076 [= | 60590 base P = RXxB_ Thenfind the rate, 21425 = Rx 60,590 Estimate using compatible numbers. . 20,000 + 60,000 = 3 « 33296 i 21,425 60,590 « >». Percents | 145 S0590 [and] (%) [=] 38.36062° cate = 35.4% Round to the nearest tenth of a percent. Step4 Po = RxB Check ‘Check by Using the pottion formulas 21,425 , 35.4% x 60,590 22495 = 0.384x 60,599 21425 = 21 4dRa6v Numbers differ due to rounding. The solution does not check exactly due to rounding. The figure 35.4% is reasonably close to the estimate, Thus, 35.496 of the franchises ar ¥e classified as fast-food restaurants, | PRACTICE PROBLEM 2 Agnes, merchandise in November, Shy cre@it. What percent of the pu ‘earest tenth. the owner of Vacation World, '@ paid P194,000 in cash and chases did she buy on credit’ spent P300,000 on hotiday Purchased the balance on ? Round the percent to the SOLUTION 2 She bought P300,000 - P194,000 = P106,000 on credit, P= RxB 106,000 = Rx 309,000 406,000 : 300,000 = oR R = 0.3533 of 35.3% EXAMPLE 3 Abilis a waiter at the Premiere lon, Last week 55% of his take-home pay were in tips. If his tips totaled P3,575, find his total takeshome pay, Step1 Given: The portion is P3,575 (amount of tips). Read The rate is 55%, Find: The base is unknown (total take-home pay). | Step 2 _P3,575 is 55% of what number? Plan Po = RxB 3,575 = 55%xB Estimate. 3,600 + 0. 3,575 58%146 | Math in the Business World — | stepa 3575 [=| 55 [au % 7 6500 Use the percent kay, Solve B = 6500 Step@ P = RxB Check byusing the portion formula, Check 3575? 6500x055 3575 = 3,575 4 The answer checks and is teasonably close to the estimate. Akil’s take: home pay was P6500. PRACTICE PROBLEM 3 Aly is a paralegal for a Pasig law firm, She spends approximately 30% of her working time in court. IF she spent 46 hours last month in court, approximately how many hours did she work? Round to the nearest whole number. SOLUTION 3 P= RxB 2 46 = 30%«B Bes 30% = 46 |=] 30| 2nd % =} 153.33 ae 8 She worked about 153 hours. Estimating Percentage Problems In the state universities in a region, 7% of the total number of students, or 160,000 students, were registered as of June. You can use the portion formula to estimate the total number of students. ‘Sometimes an estimate is all you need to solve a problem, EXAMPLES Estimate the total number of students enrolled in the state universities, Step1 Given: 160,000 students are enrolled (the portion). Read This is 7% of the total, where 7% is the rate. Find: Estimate the total number of students (the base). 160,000 is 79% of what number? te Hea Percents | 14° Step2 Use the formula P=R xp, Plan . Sten? 160,000 Solve 160,000 THX B Write 7% a5 adecimal. m7 2 140,000 = B —Usecompatitte numbers, = 2,000,000 Step 4 P= RxB ‘Check by using the portion formula, Check — 2,000,000 0.07 140,000 ¥ estimate. The estimate is reasonabl Enrolled in the state univ ly clase. About 2 mittion students are ersities, | es PRACTICE PROBLEM 4 Tuition at South East State College is now 150% of what it was four years ago. if it was P4,650 per semester, estimate what itis new SOLUTIONS =P P RxB 150% x 4,650 (1,5)5,000 = 7,500 Tuition is now about P7,500.ee . percents | 154 [oraeeeeemaninnmenemeee eee SECTION 4: PROBLEM SOLVING AND APPLICATIONS: PERCENT OF INCREASE AND DECREASE Finding the Percent of Increase Assume the following data for five fast-growing airports. 1n 2010, National had 3.1 million . passengers, and it is predicted that it witl have 9.1 million by 2023. These additional six rmiltion passengers represent about a 198% increase over 2020. An increase in an amount compared to a base, of an original amount, is often expressed as a percent of increase. Largest Growth In Pas: (in mini Alrport 2010 Increase National Airport Ba 198% North Airport at 2 120% South Airport 22 a7 118% East Airport 5.8 | 123 112% | | West Airport or | 14 | tye} ‘You use the portion formula to find the percent or rate of increase. The amount of increase is the portion in the portion formula. You find the amount of inerease by subtracting the original amount from the new amount, The base is always the original amount, In percent of increase problems, the base (original amount) is smaller than the new amount, The percent of increase is the rate. Ih the airport example, the base is the number of passengers in 2040, 3.1 million; the portion is the additional six million passengers; and the rate is the 198% increase. EXAMPLE 1 The price of 2 ceramic oil burner has gone up from P17 to P89, Find the percent of increase, Step1 Given: The base is P17 (original amount), Read The new amount is P89. Find; : The amount of increase (portion) The percent of increase (rate) ew amount - original amount Step 2° Percent of increase (rate) = original amount Plan152 | Meth in the Business World Sirennae Rate etaaaa sisi CO ACUMEN OTC Ty ~ 97 { Percent of Increase (rate) = oy Soe — Rx B9-17.4 17% = 423.52941 423.5% incroase Stepd BxXR=P Check by using the portion formula, check 17 [x] azas [2%] [x] [ez] 72.995 ae 72+ 17 = 89, the new amount. ¥ ‘The answer is reasonably close to the estimate. The price of the oll burner Increased by 423.5%, PRACTICE PROBLEM 1 When Alice and Tony opened their pet store five years ago, their rent was P120 per square meter, They now pay P170 per square meter. By what percent ‘has theit rent increased in the past five years? Round to néarest tenth. SOLUTION 1 R= 17-12 12% = 41,666 > 41.7% Finding the Percent of Decrease Crop Success Compared to 2017 The graph on the right shows the changes. in crop output from 2017 to 2018. The praph shows percents of decrease as negative percents. You can sev that the percent ef decrease in com production was 24%, The com production in 2017 was 9,478,914,000 bushels, and in 2018 it was 7,203,975,600 bushels. Cotog AL Wiat Soybean Cont In this case, the base is the number of bushels produced in 2017, of 9,478,914,000. The rate of decrease is 24%, and the portion is the amount of decrease in corn production a about 2,274,939,000 bushels. ‘You also use the portion formula to find percent of decrease. To find the rate of decreas, you must find what percent the decrease is of the original amount, EXAMPLE 2 In September, Vivant, Inc.’s investment in stocks decreased to P8.1 million from PIL mitlion in August. What was the rate of decrease? Round your answer to the nearest tenth, .sae a percents | 153 Step -Givea: The baseis P14,100,000 {original amount). . peod The new amount is Pe, 100,000. Find: The amount of dectease (portion) | The percent of decrease (rate) Step 2 Percent of decrease = 21ginal amount— new amount Original amount Plan Step3 Percent Of decrease x SREL Sove R=18.1 [=] 8.2 14a [ed] (%] EE] a2ss— > 42.6% - aecrease Step4 P=RxB Check by using the portion formula. Check 14,100,000 x 0.426 = P6,006,600 _birterence dus to rounding. 14,100,000 — 6,000,000 = P8,100,000, the new amount ¥ ‘the answer is veasonably close to the estimate. ‘The rate of decrease in stock investments was 42.6%. Estimate. PRACTICE PROBLEM 2 A local government unit reported that the number of businesses applying for business permits fell from a total of 302,450 last year to 293,000 this year. What was the rate of decrease? Round your answer to the nearest tenth. SOLUTION 2 % of decrease = 288 = 202-450-293,000 ; ~ 303,450 m = 302450 [=] 293000 [=] sorso [2 "] [%] [2] 312 > 3.1% Increase and Decrease: Finding the Portion i AN i is 29.5% by Quick Dry Cleaners, Inc., predicted that they will increase their franchises by 29.5% by. 2020, ‘They currently have 460 franchises. In this case, the base is 460, and the ente of increase ig 29.5%. To find the number of franchises the company will have in 2020, you Will have to find the portion and the new amount, You can use the portion formula to find the portion.154 | Math in the Business World EXAMPLE 3 Predict the number of storas that Quick Dry Cleaners, inc:, will have by 2020. Step1 Given; The original amount (base) is 460. | Read The rate of increase (rate) is 29.5%. Find: The amount of increase, or portion The number of new stores, or new amount Step 2 First, use the portion formula, P= R x B, to answer the question, 29.5% t Plan of 460 is what amount? Then, the original amount + amount of increase = new amount. Step3 Amount of increase: P= Rx B Solve P= 20.8% x 460 —_Estimate.0.3 «500 = 150 P = 0.205 «460 : P = 135,701 135 Number of stores.in 2020: aso [x }295[2% ] [% ] [+]460 [=] 595.7 0r595 : Stepa 595 [-]460 [= ]460 [2nd] [%] [=] 25” Check The answer is reasonably close to the estimate. Quick Dry Cleaners ae expects to have 595 stores in 2020. PRACTICE PROBLEM 3 United Mining Company has sold a tract of land for 75% more than q the P2,500,000 they paid for S years ago. How much did they receive for the land? } SOLUTION 3 P = 0.75 x 2,500,000 P = 1,875,000 2,500,000 + 1,875,000 = 4,375,000 The selling price is 94,375,000. Estimating Amount of Decrease Sometimes an estimate is all you need to solve a problem.— Percents | 155 EXAMPLE 4 Last year Mega Industries spent PS,290,000 on new equipment purchases, This year the ven equipment budget has been cut by 28%, estimate this year's new equipment budget. Step1 Given: The origin ‘Read The perce; Find: al amount {base} is P5,250,000. Nt Of decrease (rate} is 28%, The amount of decrease (the gortion) The new equipment budget (new amount) Step 2 Use the portion formula, P= & x B, to answer the question, 28% of plan 5,290,000 is what amount? Then, original amount ~ amount of decrease = new amount. Step 3 Salve RxB First find the portion, 28% « 5,290,000 0.28 x §,290,000 = 0.3 x 5,000,000 = 1,500,000 5,000,000 - 1,500,000 = 3,500,000 Then find the new amount. Step4 5000000 [=] 3500000 [= 7} sooogee [2 BIE Check 03> 30% — Ss The percent in the check is the same as the given percent. The new equipment budget is about 3,500,000. wae PRACTICE PROBLEM 4 This year Mega Industries cut thelr advertising budget by 35% from a total of P2,500,000 last year. Estimate their advertising budget for this year. SOLUTION 4 P=RxB P=0.35 x 1,500,000 = 0.3 x 2,000,000 = 600,000 1,500,000 - 600,000 = P900,000 ‘The new budget is about P900,000, Increase and Decrease: Finding the Base ‘This year, the manager of Super Pizza reported that the number of home deliveries increased by 33% from last year to a total of 3,325 deliveries. the manager can determine last year's total deliveries by using the new amount as the portion and its corvesponding Percent as the rate in the percentage formula, To find the rate, note that last year's deliveries Fepresent 100%,é Cn en etn meee tee eae nee _, 156 | Math in the Business World ac aseneeeRRAIA Incense DENISA CASRN AANN ET, | tase ye 00% | few: 33% nis year: (3,328) 133% ‘Thus, 3,325 is the portion, and 133% is the corresponding rate When finding the base in inerease and decrease problems, yOu use the EW amount a5 the Portion, The corresponding rate is found by adding the percent of increase to 100%. EXAMPLES t This year, Super Pizza increased their hourly wage for chefs by 15% to P135 an hour. What was the hourly wage last year? Round to the nearest centavd. . Step Given: The new amount (portion) is P135, * Read ‘The rate is 115%. Last year's wages of 100% plus 15%. a [ast year: 100% | increase: 15% P135 is 115% Find: Last year's hourly wage (the base) Step 2 Use the portion formula P = Ax 8 to answer the question. i. Pian P1435 is 115% of what number? P=RxB Step3 135 = 115%xB8 ‘solve 135 _ 115% a 13s [+ ]aa5 [and] [% B=P117.40 Step4 P=BxR Check byusing the portion formuia. Check = 117.40 x 1.15= 135.01 ¥ : The value in the check is close to the given value, and the answer is © reesonably close to the estimate. The hourly wage last year was P117.40. : + | | i { { 117.3913 : | | | | | PRACTICE PROBLEM 5 This year the Century Villas increased their sales by 12% © 1,702,000. What were total sales last year? Round your answer to the nearest dollar. SOLUTION § The rate is 112% (last year's sales of 100% plus 12%}. This year's sales att 1,702,000. 1,702,000 is 112% of what number?Percents | 157 CL TTS “Poe RB 1,702,000 = 112%x8 = 102000 [3] 112 [ind] [%] [=] ssiseaz8 8 ae B = P1519,643 last year's sales ‘When finding the base in pereent of decrease problems, again use the new amount as the portion. ‘The new rate is found by subtracting the percent of decrease from 100%. EXAMPLE 6 Due to continued downturn in sales revenue over the past few years, ABL Marketing reduced their work force by 20% to 328 workers, What was the total of the original work force? Step1 Given: The new reduced work force is 328 (portion). Read The sate is 80% (original work force of 100% minus 20% decrease). Find: The original work force (the base) Step2 328 is 80% of what number? Plan P= RxB Step3 328 = 80% xB Solve 328 80% a . B = 328 [+]8o[and] [%] [=] 410 = B Estimate. 320+0.8= 400 B = 410 original work force Step4 BxR Check byusing the portion formula, Check 410 x 0.8 % ‘The answer is reasonably close to the estimate. The original work force was 410. PRACTICE PROBLEM 6 Exclusive Investments sold its shares in a mutual fund for P1,760,000, which is a 15% decrease from the original selling price, What was the original selling price?MRO lth eM SN A Ah LAST 158 { Moth In the Business World SOLUTIONS 6 100% - 15% = 85%, B =e B = 1,700,000 85% . 8 = 1700000 [+]as{and] [% | [=] 2000000 The original selling price was P2,000,000. igS OO A RC percents | 161. | ann aetnscennnalsinasncnia SECTION S: ALGEBRA: USING PROPORTIONS TO SOLVE PERCENT PROBLEMS Using Proportions Out of 151 people surveyed, 85% feel govemment policies threaten their companies the myst. If you write 85% ag 25 Yoo YOU are Comparing the two numbers 85 and 100. A. comparison of two quantities by division is called a ratio. A ratio such as = is usually written in simplest form as $ ‘Two ratios that are equivaient form a proportion, Th @ proportion, cross products are equal. To find the o of each fraction in the proportion by the dettominets, om 8 2085 20 S00 17 100 mas, 52. = is called a proportion, In ross products, multiply the numerator of the other fraction. 4,700 1,700 Cross productsare equal. You-can use a proportion to find the rate, petion, and base in percentage rroblens, One ratio is the percent ratio, written as &°, Tao" TRE seconé ratio compares the portion to base, po ase These two ratios form the proportion: portion __ rate base 00 ‘You can use the following steps to solve percent problems using proportions. Solving Percent Problems Using Proportions Step 1 Setup a proportion, porti te } base ~ 100 Step 2 Cross-tnuttiply and solve for the unknown, Step3 Check to seeif the cross products are equal. EXAMPLE 1 > Use a proportion to find 23% of 45. The rate is 2296. The base is 45. The portion, P, is unknown.RE RCRA A RATES STP + 182 | Math in the Business World | cn SH ; 1,035 1,035 +100 Dinide oth sides by 100. 10.35 10.35 Step310.35%100 ? 23%45 chee 1,035 1,035 ¥ ‘ ' i t 23-45 Crose-smtioty. | } | t + : ' PRACTICE PROBLEM 1 Use.a proportion to find 82.5% of 740. i : SOLUTION 1 P| 825 7a0 ~ “too 100P = 82.5740 100P = 61,050 100P+100 = 61,050+100 i P = 6105 ‘Use @ proportion to find what percent 110 is of 250. Rio stept 0 Wane apraportion. Pt 06" 7G Step 2 250R 100 110 — Cross-musttipty. 2508 = 11,000 250K+250 = 11,000%250 _Dhide both sides by 250. Re 44 “4 44% 110s 44% of 250 a F is i006 ° Step3 44-150 11,000 110:°100 check. 11,000 7Percents | 163 PRACTICE PROBLEM 2 Use a proportion to find what percent 376.3 is of 530, R _ 3763 TION 2 ae = U88 SOLU 100 "S39 530R = 3763x199 530k = 37,630 S80R=530 = 37,6303.539 R=71 mL 7 Woo = 7% EXAMPLE ‘ Use a propartion to find what number 279 is 62% of, ‘The rate is 62% and the portion is 279, The base is unknown, i 62 27 2 ww . Stop 100." Ite @ proportion. | step2 62B = 279100 cross-muripy. . 628 = 27,90 628 +62 27,900 + 62 Divide both sides by 62, B= 450 279s 62% 450 279100 Check | 27,900 ¥ wopttce PRACTICE PROBLEM 3 Use a proportion to find a number such that 49% of the number is 3,185. 49 SOLUTION 3 00 age = 498 498 +49 B= 3,185 “8 3,185 « 100 318,500 318,500 +49 6,509