Activity: Seatwork
Direction: Read and analyze the problem carefully. Solve each problem by showing all
your solutions.
1. A living room set worth ₱5 250.00 was granted a discount of ₱345.00.
Find the: Solution
a. Discount Rate
b. Net invoice price
c. Net invoice price rate
2. A GoPro camera is listed at ₱13 651.00 less 15% and 4%.
Find the: Solution
a. Net invoice price
b. Discount using M1
c. Discount using M2
d. Discount using M3
Solve the word problems involving trade discounts.
1. A 19% discount on a flat-screen TV amounting Php18,000.00. What is the list
price?
2. A home theater system listed at Php 114,800.00 has a net price of Php 81,000.00.
What is the rate discount?
3. A flat iron is listed for Php 3,500.00 less 40%, 14% and 9% discounts.
a. What is the net price
b. What is the total amount of discount allowed?
c. What is the exact single rate of discount that has been allowed?
Reviewer for Written Work 3
I. Understanding Mark-on, Mark-down, and Mark-up
1. What is Mark-on?
Sample Problem:
○ A retailer buys a product for $50 and adds a Mark-on of 30%. What is the
selling price?
Solution:
○ Step 1: Understand that Mark-on refers to the amount added to the cost
price to determine the selling price.
○ Step 2: Calculate the Mark-on amount:
Mark-on Amount = Cost Price x Mark on Percentage (in decimal form)
= $50.00 x 0.30
= $15.00
○ Step 3: Add the Mark-on amount to the cost price to get the selling price:
Selling Price=Cost Price+Mark-on Amount
= $50 + $15
= $65.00
2. What is Mark-down?
Sample Problem:
○ A product originally priced at $100 is marked down by 20%. What is the
new selling price?
Solution:
○ Step 1: Understand that Mark-down refers to the reduction in the selling
price.
○ Step 2: Calculate the Mark-down amount:
Mark-down Amount = Original Price x Mark down Percentage ( in decimal
form)
= $100 x 0.20
= $20.00
○ Step 3: Subtract the Mark-down amount from the original price:
New Selling Price=Original Price−Mark-down Amount
=$ 100 - $20
=$80.00
3. What is Mark-Up?
Sample Problem:
○ A retailer buys a product for $80 and wants to set a selling price with a
Mark-up of 50%. What should be the selling price?
Solution:
○ Step 1: Understand that Mark-up refers to the amount added to the cost
price.
○ Step 2: Calculate the Mark-up amount:
Mark-up Amount=Cost Price×Mark-up Percentage (in decimal form)
=$80 x 0.50
=$40.00
○ Step 3: Add the Mark-up amount to the cost price:
Selling Price=Cost Price+Mark-up Amount
=$80 + $40
=$120.00
II. Differentiating Mark-up from Margins
1. Mark-up vs. Margin
Sample Problem:
○ A product has a cost price of $60 and a selling price of $100. Calculate the
Mark-up and Gross Margin.
2. Solution:
○ Step 1: Calculate the Mark-up percentage:
Mark-up percentage = (SP−CP/ CP) x 100
= (($100 - $60)/$60) x 100
= ($40/$60) x 100
=66.67%
○ Step 2: Calculate the Gross Margin percentage:
Gross Margin = (SP - CP / SP) x 100
= ($100 - $60/ $100) x 100
= 40.00%
III. Single Trade Discounts and Discount Series
1. Single Trade Discount
Sample Problem:
○ A product has a list price of $200 and is offered at a 15% single trade
discount. What is the net price?
2. Solution:
○ Step 1: Calculate the discount amount:
○ Discount Amount=List Price×Discount Percentage ( in decimal form)
= $200 x 0.15
= $30.00
○ Step 2: Subtract the discount amount from the list price:
○ Net Price=List Price−Discount Amount
= $200 - $30
= $ 170.00
3. Discount Series
Sample Problem:
○ A product with a list price of $400 is offered at a discount series of 10%,
5%, and 2%. Calculate the final price.
4. Solution:
○ Step 1: Apply the first discount:
First Discount = 400 × (1 − 0.10 ) = 400 × 0.90 = $360.00
○ Step 2: Apply the second discount to the new price:
Second Discount= 360 × (1 − 0.05) = 360×0.95 = $342
○ Step 3: Apply the third discount to the new price:
Third Discount =342 × (1 − 0.02) = 342×0.98 = $335.16
○ Final Price:
Final Price = $335.16
