1. A wrist watch is being sold for P3,250.65 with a
Anna is a senior citizen who ordered food
markup based on selling price of 12.5% . What is
the cost of the wrist watch?
SOLUTION: To find the cost of the wrist watch, we
need to subtract the markup from the selling price.
Markup = Selling Price * Markup Percentage
Markup = ( P 3,250.65 ) * ( 12.5 % )
Markup = ( P 3,250.65 ) * 0.125
Markup = ( P 406.33 )
Cost = Selling Price - Markup
Cost = ( P 3,250.65 ) - ( P 406.33 )
Cost = ( P 2,844.32 )
Therefore, the cost of the wrist watch is P2,844.32
2. You bought a house and lot with a selling price of
P 1,212,500.00 in which you pay 25% as down
payment. You made a mortgage loan for the
remaining amount with an annual interest rate of 5
% payable for 30 years. Supposed that you agreed
to pay the loan monthly, how much is your monthly
payment?
SOL.: To calculate the monthly payment for the
mortgage loan, we can use the formula for the
monthly payment on a fixed-rate mortgage:
Monthly Payment = Loan Amount * Monthly
Interest Rate (1 - (1 + Monthly Interest Rate) (-n))
Where:
Loan Amount = Selling Price - Down Payment
Monthly Interest Rate = Annual Interest Rate / 12
n = Number of monthly payments (30 years * 12
months per year)
Loan Amount = ( P 1,212,500.00) - (( P
1,212,500.00 ) * ( 25 % ))
Loan Amount = ( P 1,212,500.00) - ( P 303,125.00 )
Loan Amount = ( P 909,375.00 )
Monthly Interest Rate = ( 5 % ) / 12
n = 30 years * 12 months per year = 360 months
Using the formula:
Monthly Payment = ( P 909,375.00 ) * ({0.05}{12}
) / (1 - (1 + ( {0.05}{12} )) (-360))
Monthly Payment = P 4,881.72
Therefore, your monthly payment for the mortgage
loan is P 4,881.72 .
3. 24.
from Jollibee for an amount of P 1,512. The said
amount is inclusive of value-added (VAT) of 12 % .
Anna also paid the delivery fee of P56. How much
is the total amount paid by Anna if the VAT is
removed?
The total amount paid by Anna is P 1,512 inclusive
of a 12% value-added tax (VAT). To find the total
amount paid by Anna if the VAT is removed, we
need to subtract the VAT amount from the total
amount.
SOL. The VAT amount can be calculated by
multiplying the total amount by the VAT rate:
VAT amount = 12% * P 1,512
= P 0.12 * P 1,512
= P 181.44
To find the total amount paid by Anna without
VAT, we subtract the VAT amount from the total
amount:
Total amount without VAT = P 1,512 - P 181.44
= P 1,330.56
4. Ariadne is a salesperson for Turgo Corporation.
The company pays 6.5 % commission on sales, and
gives Ariadne a draw against commission of
P12,000 per month. If she receives his draw at the
beginning of the month and then sells P800,000
during the month, how much is owed to Ariadne?
Ariadne receives a draw against commission of
P12,000 per month. The commission rate is 6.5%
on sales. To calculate the commission earned, we
multiply the sales amount by the commission rate:
Commission earned = 6.5% * P800,000
= 0.065 * P800,000
= P52,000
Since Ariadne receives a draw against commission
of P12,000 per month, the amount owed to Ariadne
is the difference between the commission earned
and the draw:
Amount owed to Ariadne = P52,000 - P12,000
= P40,000
5. The RRS Company produces fertilizers that are
sold for P 85 per kilogram. The fixed monthly cost
of producing the fertilizer is P125,000 . The total
cost of direct materials and labor is P 65/kg. If the
company wanted to earn a monthly income of
P60,000 , how many kilograms of fertilizers should
it produce?
𝐹𝐶 + 𝐷𝑒𝑠𝑖𝑟𝑒𝑑 𝑃𝑟𝑜𝑓𝑖𝑡
𝐴𝑐𝑡𝑢𝑎𝑙 𝑎𝑚𝑜𝑢𝑛𝑡 =
𝑆𝑃 − 𝑉𝐶
125,000 + 60,000
𝐴𝑐𝑡𝑢𝑎𝑙 𝑎𝑚𝑜𝑢𝑛𝑡 =
85 − 65
185,000
𝐴𝑐𝑡𝑢𝑎𝑙 𝑎𝑚𝑜𝑢𝑛𝑡 =
20
𝐴𝑐𝑡𝑢𝑎𝑙 𝑎𝑚𝑜𝑢𝑛𝑡 = 𝑃𝐻𝑃 9,250
2
6. Ariel earns 2 3 times as much as Brylle. If Ariel
earns P 20,410 per month, how much is the earnings
of Brylle per month?
2
Just multiply 2 3 and P 20,410
3
Convert: 2 5 * 20,410 = PHP7,830
7. ABC Corporation is the leading manufacturer of
beverages in the country. For the year, it incurred an
overhead expense of P 650,000,000. The said
expenses will be allocated to the marketing,
operating, and administrative departments using the
ratio of 6: 10: 9, respectively. How much is the
expenses that should be allocated to each
department?
SOL.:Find the value of x.
6x + 10x + 9x = 650,000, 000 add like terms
25x = 650,000, 000 divide both side by 25
x = 26,000,000
For marketing: 6x 6(26,000,000) = 156,000,000
For Operating: 10x 10(26,000,000) = 260,000,00
For adminitrative: 9x 9(26,000,000) = 234,000,00
8. Abad, Festin, and Leonen are partners in Lex
Talionis Firm (LTF) in which Leonen was assigned
to manage it. At the end of the year, Leonen
received P2,750,000 from the P4,500,000 net profit
of the company. Abad and Festin divided among
themselves the remaining net profit using the profit
or loss ratio of 70% and 30%, respectively. How
much is the share of Festin, in decimal form, from
the total net profit? Round-off your answer into two
(2) decimal places.
To find Festin's share of the total net profit, we need
to calculate the amount based on the profit or loss
ratio.
Given:
Leonen's share = P 2,750,000
Abad's profit or loss ratio = 70%
Festin's profit or loss ratio = 30%
Let's calculate Festin's share:
Total net profit = P 4,500,000
Leonen's share: P 2,750,000
Remaining net profit: Total net profit - Leonen's
share
Remaining net profit: P 4,500,000 - P 2,750,000
Remaining net profit: P 1,750,000
Festin's share: Festin's profit or loss ratio *
Remaining net profit
Festin's share: 0.3 * P 1,750,000
Festin's share: P 525,000
Therefore, Festin's share of the total net profit is P
525,000.
9. A boutique determined that the number of shorts
it can sell (S) is inversely proportional to the, price
(P) of the short. There are 3,000 shorts that can be
sold if the price is P345. How many shorts can be
sold if the price is P 360?
【Explanation】: The relation S is inversely
proportional to P can be formalized as S = k/P
where k is the constant of variation. Reflecting the
constant nature of k, we find k is equal to S*P. For
3,000 shorts sold at P345, k is 3000 multiplied by
345, which gives us 1035000. Filling in the shorts
sales at P360 involves finding S, such that S =
1035000/360, leading us to S approximately equal
to 2875 when rounded to the next integer, as shorts
cannot be divided.
Therefore, the boutique can sell approximately 2875
pairs of shorts when the price is P360.
10. Alona beach resort is operating a 40 unit which
in cured a monthly fixed cost of 360,000 pesos. the
price per unit of motel for a day is 1,400 pesos for
the month of April, the company has a break-even
occupancy of 45 per unit how much is the variable
cost for unit the company must incurred to break
even?
To calculate the variable cost per unit that the
company must incur to break even, we need to
determine the total revenue required to cover the
fixed costs.
Given:
Fixed costs (F) = 360,000 pesos
Break-even occupancy per unit (BE) = 45 units
Price per unit (P) = 1,400 pesos
First, we calculate the total revenue required to
cover the fixed costs:
Total revenue (TR) = Fixed costs (F) / Break-even
occupancy per unit (BE)
TR = 360,000 pesos / 45 units
TR = 8,000 pesos
Next, we subtract the variable cost per unit (VC)
from the price per unit (P) to find the contribution
margin per unit (CM):
CM = Price per unit (P) - Variable cost per unit
(VC)
Since the company is aiming to break even, the
contribution margin per unit (CM) must be equal to
zero.
CM = P - VC
0 = 1,400 pesos - VC
Solving for VC:
VC = 1,400 pesos
Therefore, the variable cost per unit that the
company must incur to break even is 1,400 pesos.
11. The STI Alumni Association plans to produce
school jackets which will be sold for 1,600. The
variable cost per jacket include 900 pesos for the
materials and P150 for direct labor. The fixed cost
in producing the jacket amounted to P88,000. How
many jackets the STI Alumni Association needs to
sell to breakeven?
To calculate the breakeven point, we need to
consider the total cost and the selling price per
jacket.
The variable cost per jacket is the sum of the cost of
materials (900 pesos) and direct labor (150 pesos),
which amounts to 900 + 150 = 1050 pesos.
The fixed cost is given as 88,000 pesos.
The selling price per jacket is 1,600 pesos.
To calculate the breakeven point, we can use the
following formula:
Breakeven Point = Fixed Costs / (Selling Price per
Unit - Variable Cost per Unit)
Plugging in the values, we have:
Breakeven Point = 88,000 / (1,600 - 1,050)
Breakeven Point = 88,000 / 550
Breakeven Point ≈ 160
Therefore, the STI Alumni Association needs to sell
approximately 160 jackets to break even.
12. Czarina plans to buy a laptop from a store in
Shopee. On December 2, the price of the laptop was
P45,000. However, on December 12, Shopee had a
sale and the laptop is now selling for P 24,000.
What is the percent decrease of the price of the
laptop?
Answer: 46.67%
【Explanation】: To find the percent decrease in
the price of the laptop,
we first find out how much the price decreased:
45,000 - 24,000 = 21,000 Peso.
Then we divide this decrease by the original price:
21,000 / 45,000 = 0.4667.
That result must then be multiplied by 100 to
convert it into a percentage, yielding a 46.67%
decrease in the price of the laptop.
1. Fractions, Types, and operation of fraction
2. Decimal
3. Salary plus commission
4. Sales revenue
5. Proportions and types
6. Fixed cost
7. Taxation
8. Draw against Commission
9. Simple interest and formulas
10. Percentage, rate and base formulas
11. TR = Total FC + Total VC ---break-even point in peso formula
𝑟
𝑃( )
𝑛
12. 𝑝𝑚𝑡 = 𝑟 --- installment payments for a loan
1−( )−𝑛𝑡
𝑛