Decimals and Percentages

4. Percentage Calculations

Learning outcomes
  • I can calculate percentages of quantities.
  • I can determine percentage increases and decreases.
  • I can calculate discounts and markups.
  • I can solve percentage word problems.
  • I can check whether my answers are reasonable.

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6

What Does "Percentage of a Quantity" Mean?

A percentage describes a number of parts out of 100.

When we calculate a percentage of a quantity, we are finding a particular fraction of that quantity.

For example:

25% of 80

means:

25/100 of 80

Since:

25% = 1/4

we can calculate:

1/4 × 80 = 20

Therefore:

25% of 80 = 20

The word of usually represents multiplication.


The Main Percentage Formula

A reliable method for finding a percentage of a quantity is:

percentage of quantity = percentage as a decimal × quantity

For example:

Find:

35% of 60

Convert 35% to a decimal:

35% = 0.35

Then:

0.35 × 60 = 21

Therefore:

35% of 60 = 21


Method 1: Convert the Percentage to a Decimal

Find:

42% of 250

Convert:

42% = 0.42

Then:

0.42 × 250 = 105

Therefore:

42% of 250 = 105

This method works for almost any percentage.


Method 2: Convert the Percentage to a Fraction

Find:

25% of 64

We know:

25% = 1/4

Therefore:

1/4 × 64 = 16

So:

25% of 64 = 16

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This method is particularly useful for familiar percentages.


Useful Percentage Benchmarks

Several percentages are useful for mental calculations.

50% = 1/2

25% = 1/4

75% = 3/4

20% = 1/5

10% = 1/10

5% = half of 10%

1% = 1/100

Knowing these relationships can make many percentage calculations much faster.


Finding 50%

To find 50%, divide by 2.

Example:

50% of 90

90 ÷ 2 = 45

Therefore:

50% of 90 = 45


Finding 25%

To find 25%, divide by 4.

Example:

25% of 120

120 ÷ 4 = 30

Therefore:

25% of 120 = 30


Finding 10%

To find 10%, divide by 10.

Example:

10% of 340

340 ÷ 10 = 34

Therefore:

10% of 340 = 34

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5

Finding 5%

5% is half of 10%.

Find:

5% of 240

First:

10% of 240 = 24

Then:

5% of 240 = 12

Therefore:

5% of 240 = 12


Finding 1%

To find 1%, divide by 100.

Example:

1% of 700 = 7

This can help calculate unusual percentages.

For example:

3% of 700

If 1% = 7:

3% = 3 × 7 = 21


Building Percentages

You can combine familiar percentages.

Find:

15% of 80

10% of 80:

8

5% of 80:

4

Therefore:

15% = 10% + 5%

So:

8 + 4 = 12

Therefore:

15% of 80 = 12


Another Mental Strategy

Find:

35% of 200

Break 35% into:

30% + 5%

10% of 200 = 20.

Therefore:

30% of 200 = 60.

5% of 200 = 10.

So:

35% of 200 = 70

Different methods can produce the same result.


Using a Bar Model

A bar model can help show how a percentage relates to the whole.

Suppose:

40% of 150

We can represent the full bar as:

100% = 150

Then:

10% = 15

Therefore:

40% = 4 × 15 = 60

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So:

40% of 150 = 60


Percentage Increase

A percentage increase occurs when a quantity becomes larger by a percentage of its original value.

Suppose a price is:

$80

and it increases by:

25%

First calculate the increase:

25% of $80

Since:

25% = 1/4

the increase is:

$20

Then add the increase:

$80 + $20 = $100

Therefore, the new price is:

$100


Percentage Increase: Two-Step Method

The general process is:

Step 1: Find the percentage increase.

Step 2: Add it to the original quantity.

Example:

Increase 150 by 20%.

First:

20% of 150 = 30

Then:

150 + 30 = 180

Therefore:

150 increased by 20% = 180

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5

Percentage Increase Using a Multiplier

There is a faster method.

If something increases by 20%, its new value is:

100% + 20% = 120%

Convert:

120% = 1.20

Therefore:

new value = original value × 1.20

For example:

150 × 1.20 = 180

The answer is the same.


Increase Multipliers

Some useful examples are:

Increase by 5%:

100% + 5% = 105% = 1.05

Increase by 10%:

110% = 1.10

Increase by 20%:

120% = 1.20

Increase by 35%:

135% = 1.35

Therefore:

new value = original × multiplier


Percentage Decrease

A percentage decrease occurs when a quantity becomes smaller by a percentage of its original value.

Suppose a quantity is:

200

and decreases by:

15%

First find the decrease:

15% of 200 = 30

Then subtract:

200 − 30 = 170

Therefore:

200 decreased by 15% = 170


Percentage Decrease Using a Multiplier

A 15% decrease means:

100% − 15% = 85%

Convert:

85% = 0.85

Therefore:

200 × 0.85 = 170

This gives the same answer in one calculation.

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5

Decrease Multipliers

Decrease by 5%:

95% remains

Multiplier:

0.95

Decrease by 20%:

80% remains

Multiplier:

0.80

Decrease by 30%:

70% remains

Multiplier:

0.70

Decrease by 60%:

40% remains

Multiplier:

0.40

The multiplier represents the percentage that remains, not the percentage removed.


Finding the Percentage Increase

Sometimes we know the original and new values and need to calculate the percentage change.

Use:

percentage change = change/original × 100%

For an increase:

percentage increase = increase/original × 100%

Example:

A quantity increases from 50 to 60.

Increase:

60 − 50 = 10

Then:

10/50 × 100% = 20%

Therefore:

the percentage increase is 20%.


Finding the Percentage Decrease

Suppose a quantity decreases from 80 to 60.

Decrease:

80 − 60 = 20

Use the original value:

20/80 × 100%

= 25%

Therefore:

the percentage decrease is 25%.

The denominator is the original value, because the percentage change is measured relative to where the quantity started.


Why the Original Value Matters

Suppose a price rises from $100 to $120.

Increase:

$20

Percentage increase:

20/100 × 100% = 20%

Now suppose the price falls from $120 back to $100.

Decrease:

$20

But:

20/120 × 100% ≈ 16.7%

So a 20% increase followed by a 20% decrease does not return to the original value.

The percentages are calculated from different starting values.

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6

Discounts

A discount reduces the original price of an item.

Suppose an item costs:

$60

and receives a:

25% discount

First calculate the discount:

25% of $60 = $15

Then:

$60 − $15 = $45

Therefore, the sale price is:

$45


Discount Using a Multiplier

A 25% discount means:

75% of the original price remains.

Therefore:

75% = 0.75

Calculate:

$60 × 0.75 = $45

This method gives the sale price directly.

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4

Discount vs Sale Price

Be careful to distinguish between:

discount amount

and:

sale price

For an $80 item with a 30% discount:

Discount:

0.30 × $80 = $24

Sale price:

$80 − $24 = $56

So:

discount = $24

but:

sale price = $56

They are not the same quantity.


Markups

A markup increases a price by a percentage of its original cost.

Suppose a store buys an item for:

$50

and applies a:

40% markup

Calculate the markup:

40% of $50

0.40 × 50 = 20

Add the markup:

$50 + $20 = $70

Therefore, the selling price is:

$70


Markup Using a Multiplier

A 40% markup means:

100% + 40% = 140%

Convert:

140% = 1.40

Then:

$50 × 1.40 = $70

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4

Discount Followed by Another Discount

Suppose a $100 item receives:

20% off

and then another:

10% off

First discount:

$100 × 0.80 = $80

Second discount:

$80 × 0.90 = $72

Final price:

$72

The total discount is:

$100 − $72 = $28

Therefore, the overall reduction is:

28%

It is not 30%.

The second discount is calculated from the already reduced price.


Successive Percentage Changes

Percentage changes are usually applied sequentially.

For example:

Increase by 10%, then increase by 20%.

Starting with 100:

First:

100 × 1.10 = 110

Then:

110 × 1.20 = 132

Overall increase:

32%

not 30%.

This happens because the second percentage is calculated using the new value.


Percentage Word Problem: School

A school has:

600 students

and:

45%

participate in after-school activities.

How many students participate?

Calculate:

0.45 × 600 = 270

Therefore:

270 students participate.


Percentage Word Problem: Test Score

A student answers 34 questions correctly on a 40-question test.

What percentage is correct?

Use:

part/whole × 100%

Therefore:

34/40 × 100%

= 0.85 × 100%

= 85%

The student's score is:

85%


Percentage Word Problem: Saving Money

A student saves:

30%

of $120.

How much is saved?

Calculate:

0.30 × 120 = 36

Therefore:

$36 is saved.

How much remains?

$120 − $36 = $84

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4

Percentage Word Problem: Population

A town has:

8,000 people

Its population increases by:

5%

Find the increase:

0.05 × 8000 = 400

Then:

8000 + 400 = 8400

The new population is:

8,400 people.


Percentage Word Problem: Measurement

A machine part should have a mass of 200 g.

Its measured mass is 2% greater than this value.

Find 2%:

0.02 × 200 = 4 g

Add:

200 + 4 = 204 g

The measured mass is:

204 g


Percentage Word Problem: Sports

A player makes:

18 of 24 attempts

Success rate:

18/24 × 100%

Simplify:

18/24 = 3/4

And:

3/4 = 75%

Therefore, the success rate is:

75%


Working Backwards

Sometimes the percentage and resulting quantity are known, but the original quantity is unknown.

Suppose:

25% of a number is 15.

Since:

25% = 1/4

if one-quarter is 15:

whole = 15 × 4 = 60

Therefore:

25% of 60 = 15


Working Backwards Using Decimals

Suppose:

40% of a number is 32.

Write:

0.40 × original = 32

Therefore:

original = 32 ÷ 0.40

original = 80

Check:

40% of 80 = 32

Correct.


Finding an Original Price After a Discount

A jacket costs $72 after a 20% discount.

What was the original price?

After a 20% discount:

80% remains.

Therefore:

0.80 × original price = $72

So:

original price = 72 ÷ 0.80

= $90

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The original price was:

$90

Notice that simply adding 20% of $72 would not give the correct original price.


Estimating Percentage Answers

Estimation is useful before and after calculation.

Suppose we need:

48% of 198

48% is close to:

50%

198 is close to:

200

Half of 200 is:

100

Therefore:

48% of 198 should be close to 100.

Exact calculation:

0.48 × 198 = 95.04

This is close to our estimate.


Using Benchmarks to Estimate

Estimate:

24% of 82

24% is close to:

25%

82 is close to:

80

25% of 80 is:

20

Therefore:

24% of 82 ≈ 20

This estimate can be used to check the exact calculation.


Reasonableness: Percentages Below 100%

If a problem asks:

30% of 70

the answer must be less than 70 because 30% is less than 100%.

If your calculation gives:

210

you know something has gone wrong.

The correct calculation is:

0.30 × 70 = 21


Reasonableness: Percentages Above 100%

Suppose:

125% of 80

Since 125% is greater than 100%, the answer should be greater than 80.

Calculate:

1.25 × 80 = 100

The result is reasonable.


Reasonableness for Discounts

A $200 item receives a 15% discount.

Before calculating, we know:

10% of $200 = $20.

5% of $200 = $10.

Therefore:

15% = $30.

The sale price should be:

about $170

If a calculation produces $230, it cannot represent a 15% discount.


Reasonableness for Increases

Suppose a population of 500 increases by 8%.

10% of 500 is 50.

Therefore, 8% should be slightly less than 50.

Exact increase:

0.08 × 500 = 40

New population:

540

This matches our estimate.


Using Diagrams to Understand Percentage Change

A bar can represent the original quantity as:

100%

For a 30% increase:

100% + 30% = 130%

For a 30% decrease:

100% − 30% = 70%

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This makes the multiplier method easier to understand:

30% increase → × 1.30

30% decrease → × 0.70


A General Percentage Formula

To find a percentage of a quantity:

percentage amount = percentage/100 × original quantity

For example:

18% of 350

= 18/100 × 350

= 63

Therefore:

18% of 350 = 63


Percentage Change Formula

To determine how much a quantity changed as a percentage:

percentage change = change/original value × 100%

where:

change = |new value − original value|

Then identify whether the change was an increase or decrease.


Worked Example 1

Find:

18% of 250

Convert:

18% = 0.18

Calculate:

0.18 × 250 = 45

Answer:

45


Worked Example 2

Increase 240 by 15%.

Find the increase:

0.15 × 240 = 36

Add:

240 + 36 = 276

Answer:

276

Alternatively:

240 × 1.15 = 276


Worked Example 3

Decrease 360 by 25%.

Since:

25% = 1/4

Decrease:

360 ÷ 4 = 90

Then:

360 − 90 = 270

Answer:

270


Worked Example 4

A $120 item is discounted by 35%.

Find the discount:

0.35 × 120 = $42

Find the sale price:

$120 − $42 = $78

Therefore:

discount = $42

sale price = $78


Worked Example 5

A product costs a shop $80.

The shop applies a 25% markup.

Markup:

0.25 × 80 = $20

Selling price:

$80 + $20 = $100

Alternatively:

$80 × 1.25 = $100


Worked Example 6

A quantity increases from 120 to 150.

Find the percentage increase.

Change:

150 − 120 = 30

Percentage change:

30/120 × 100% = 25%

Therefore:

the quantity increased by 25%.


Worked Example 7

A quantity decreases from 250 to 200.

Change:

250 − 200 = 50

Percentage decrease:

50/250 × 100% = 20%

Therefore:

the quantity decreased by 20%.


Worked Example 8: Multi-Step Shopping Problem

A bicycle originally costs:

$500

It is discounted by:

20%

Then an additional:

5%

is taken from the sale price.

First discount:

$500 × 0.80 = $400

Second discount:

$400 × 0.95 = $380

Final price:

$380

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4

The total reduction is:

$500 − $380 = $120

As a percentage of the original:

120/500 × 100% = 24%

So the combined discount is:

24%, not 25%.


Worked Example 9: Reverse Percentage

After a 25% increase, a quantity is 150.

Find the original quantity.

After the increase:

125% remains relative to the original

Therefore:

1.25 × original = 150

So:

original = 150 ÷ 1.25

= 120

Check:

25% of 120 = 30.

120 + 30 = 150.

Correct.


Choosing a Method

Different percentage problems are easier with different methods.

Use fractions when the percentage is familiar:

25% = 1/4

50% = 1/2

75% = 3/4

Use mental benchmarks for simple percentages:

10%, 5%, 1%, 20%

Use decimals for general calculations:

37% = 0.37

Use multipliers for increases and decreases:

15% increase → × 1.15

15% decrease → × 0.85

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5

A strong problem solver chooses the method that makes the calculation most efficient and clear.


Common Mistakes

Mistake 1: Forgetting to convert the percentage

Incorrect:

25% of 80 = 25 × 80

Correct:

0.25 × 80 = 20


Mistake 2: Confusing the percentage amount with the final value

For a 20% increase on 50:

Increase:

10

New value:

60

These are different answers.


Mistake 3: Subtracting the percentage number directly

A 20% discount on $80 does not mean:

$80 − $20

It means:

$80 − 20% of $80


Mistake 4: Using the wrong multiplier

A 20% increase uses:

1.20

A 20% decrease uses:

0.80


Mistake 5: Using the new value as the denominator for percentage change

Percentage change is normally measured relative to the original value.


Mistake 6: Adding successive percentages

A 20% discount followed by a 10% discount is not generally a 30% total discount.

Each percentage applies to a different value.


Mistake 7: Assuming an increase and equal percentage decrease cancel

A 20% increase followed by a 20% decrease does not return to the original value.


Mistake 8: Ignoring units

A percentage calculation involving money should produce an amount of money where appropriate.


Mistake 9: Not estimating

A quick estimate can reveal errors involving decimal placement or incorrect operations.


Did You Know?

Percentage calculations connect many areas of mathematics to everyday decisions.

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5

They are used in:

  • discounts and sales
  • markups
  • taxes
  • tips
  • interest
  • salaries
  • population change
  • scientific measurements
  • percentage error
  • test results
  • sports statistics
  • business
  • data analysis

The same basic idea appears repeatedly:

identify the whole → identify the percentage → calculate the appropriate part or new value.


Key Terms

  • Percentage: Quantity expressed as parts per hundred.
  • Percentage of a quantity: Amount obtained by applying a percentage to a whole.
  • Original value: Starting quantity before a change.
  • New value: Quantity after a change.
  • Percentage increase: Increase expressed as a percentage of the original value.
  • Percentage decrease: Decrease expressed as a percentage of the original value.
  • Percentage change: Change relative to the original quantity, expressed as a percentage.
  • Discount: Reduction from an original price.
  • Sale price: Price after a discount.
  • Markup: Amount added to a cost, usually expressed as a percentage of that cost.
  • Multiplier: Decimal factor used to calculate a percentage-adjusted value.
  • Benchmark percentage: Familiar percentage used for mental calculation or estimation.
  • Estimate: Approximate value used to predict or check an answer.
  • Reverse percentage: Process of determining an original value from a known percentage-adjusted value.

Key Equations and Rules

Percentage of a quantity:

percentage amount = percentage/100 × quantity

Percentage change:

percentage change = change/original value × 100%

Percentage increase:

new value = original value × (1 + percentage as decimal)

Percentage decrease:

new value = original value × (1 − percentage as decimal)

For example:

20% increase → × 1.20

20% decrease → × 0.80


Percentage Problem-Solving Strategy

Step 1: Identify the original quantity.

Step 2: Identify the percentage.

Step 3: Determine what the question asks for:

  • percentage amount
  • new value
  • discount
  • sale price
  • markup
  • percentage change
  • original value

Step 4: Estimate the expected answer.

Step 5: Choose an efficient method.

Step 6: Calculate.

Step 7: Include appropriate units.

Step 8: Compare the result with your estimate.

Step 9: Ask whether the result makes sense in context.


Key Takeaways

  • To calculate a percentage of a quantity, convert the percentage to a decimal and multiply.
  • Familiar percentages can often be calculated using fractions or mental strategies.
  • 50% means half, 25% means one-quarter, and 10% means one-tenth.
  • Percentage increases are calculated relative to the original value.
  • For an increase, find the increase and add it to the original value.
  • For a decrease, find the decrease and subtract it from the original value.
  • Multipliers provide a faster method for percentage increases and decreases.
  • A 20% increase corresponds to multiplying by 1.20.
  • A 20% decrease corresponds to multiplying by 0.80.
  • A discount is the amount removed from the original price.
  • The sale price is the amount remaining after the discount.
  • A markup increases a cost to produce a new selling price.
  • Percentage change is calculated using the original value as the reference.
  • Successive percentage changes should be applied one after another rather than simply added.
  • Equal percentage increases and decreases do not generally cancel.
  • Reverse percentage calculations can be used to find an unknown original value.
  • Estimation is an important way to check percentage calculations.
  • Always distinguish between the percentage amount and the final value.
  • A reliable strategy is:

identify the whole → identify the percentage → estimate → choose a method → calculate → check → interpret the result.