Warm Up Change to a decimal 1. 20% 2. 45% 3. 151% 4. 2%.2.45 1.51 Course 3 8-6 Applications of Percents.02

Warm UpChange to a decimal

1. 20%

2. 45%

3. 151%

4. 2%

.2

.45

1.51

Course 3

8-6 Applications of Percents

.02

Learn to find commission and sales tax.

Course 3


Course 3


Real estate agents often work for commission. A commission is a fee paid to a person who makes a sale. It is usually a percent of the selling price. This percent is called the commission rate.

Often agents are paid a commission plus a regular salary. The total pay is a percent of the sales they make plus a salary.

commissioncommission = commission rate = commission rate salessales

A real-estate agent is paid a monthly salary of $900 plus commission. Last month he sold one condominium for $65,000, earning a 4% commission on the sale. How much was his commission? What was his total pay last month?

Additional Example 1: Multiplying by Percents to Find Commission Amounts

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First find his commission.

4% $65,000 = c commission rate sales = commission

0.04 65,000 = c Change the percent to a decimal.

Additional Example 1 Continued

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2600 = c Solve for c.

He earned a commission of $2600 on the sale.

Now find his total pay for last month.

$2600 + $900 = $3500 commission + salary = total pay

His total pay for last month was $3500.

A car sales agent is paid a monthly salary of $700 plus commission. Last month she sold one sports car for $50,000, earning a 5% commission on the sale. How much was her commission? What was her total pay last month?

Try This: Example 1

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First find her commission.

5% $50,000 = c commission rate sales = commission

0.05 50,000 = c Change the percent to a decimal.

Try This: Example 1 Continued

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2500 = c Solve for c.

The agent earned a commission of $2500 on the sale.

Now find her total pay for last month.$2500 + $700 = $3200 commission + salary = total pay

Her total pay for last month was $3200.

Try this one

Alice earns a monthly salary of $315 plus a commission on her total sales. Last month her total sales were $9640, and she earned a total of $1182.60. What was her commission rate?

Substitute into our formula what we know then solve for the missing variable

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Sales tax is the tax on the sale of an item or service. It is a percent of the purchase price and is collected by the seller.

When using our percent proportion the rate is the % and the amount is the part.

If the sales tax rate is 6.75%, how much tax would Adrian pay if he bought two CDs at $16.99 each and one DVD for $36.29?

Additional Example 2: Multiplying by Percents to Find Sales Tax Amounts

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CD: 2 at $16.99 $33.98

DVD: 1 at $36.29 $36.29

$70.27 Total Price

0.0675 70.27 = 4.743225 Convert tax rate to a decimal and

multiply by the total price.Adrian would pay $4.74 in sales tax.

Try This: Example 2

Amy rents a hotel for $45 per night. She rents for two nights and pays a sales tax of 13%. How much tax did she pay?

Insert Lesson Title Here

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$45 2 = $90 Find the total price for the hotel stay.

$90 0.13 = $11.70 Convert tax rate to a decimal and multiply by the total price.Amy spent $11.70 on sales tax.

A furniture sales associate earned $960 in commission in May. If his commission is 12% of sales, how much were his sales in May?

Additional Example 4: Dividing by Percents to Find Total Sales

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Think: $960 is 12% of what number?

Solve by equation:

960 = 0.12 s Let s = total sales.

9600.12

= s Divide each side by 0.12.

The associate’s sales in May were $8000.

A sales associate earned $770 in commission in May. If his commission is 7% of sales, how much were his sales in May?

Try This: Example 4

Course 3


Think: $770 is 7% of what number?

Solve by equation:

770 = 0.07 s Let s represent total sales.7700.07

= s Divide each side by 0.07.

The associate’s sales in May were $11,000.

Homework

p426: 1,2,5,6,15

Documents

Warm Up Change to a decimal 1. 20% 2. 45% 3. 151% 4. 2%.2.45 1.51 Course 3 8-6 Applications of Percents.02