ABM11 Business Mathematics Q1 W6
ABM11 Business Mathematics Q1 W6
ABM11 Business Mathematics Q1 W6
Region III
DIVISION OF MABALACAT CITY
I. Introduction
The value of key concepts in buying and selling to financial managers and
company owners is to consider how much money must be generated for its
resources.
Company owners want to know if the sales are enough to cover the costs.
For example, the profit and loss statement is one of the methods for
understanding the net profits of companies, which can be useful in decision-
making.
As future financial managers and company owners someday, you may want
to learn how much of any sales peso flows to your business's bottom line.
This Learning Activity will help attain this goal. Treat yourself in studying!
The learners are able to differentiate mark-up from margins, describe how
margins is used in sales, compute single trade discount and discount series,
differentiate profit from loss, illustrate how profit obtained and how to avoid
loss in a given transaction. (ABM_BM11BS-Ih-3, ABM_BM11BS-Ih-4,
ABM_BM11BS-Ih-5, ABM_BM11BS-Ii-6, ABM_BM11BS-Ii-7).
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III. Objectives
After going through this Learning Activity Sheets, you are expected to
1. define and discuss the difference of mark-up from margins;
2. describe how gross margin used in sales;
3. compute single trade discount, discount series, margin percentage and
mark-up percentage;
4. differentiate profit from loss;
5. explain how profit is obtained and how to avoid loss in a given
transaction; and
6. solve problems involving profit and loss.
IV. Discussion
For example:
A pilot pen cost for Php30.00 and sold for Php50.00. How much is the
margin amount and its percentage?
From the same example, a mark-up of Php20.00 from the Php30.00 yields
the Php50.00 price.
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Single Trade Discount and Discount Series
To compute for the Net Price, we just subtract the Trade discount from the
list price.
For examples:
1. Find the trade discount for Samsung A5 phone that list for Php14,500
and has a trade discount of 10%.
2. Find the net price of a camera that lists for Php320 and has a trade
discount of 10%.
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Discount Series is a type of discount wherein through a combination of
conditions. These are given to customers in order to encourage them to buy
in volume.
For example:
Hence the two successive discounts of 20% and 30% is equivalent to 44%
Where the Net Sales is the amount of money received from selling goods,
and Cost is the amount paid for the goods. However, there are cases in
which the Net Sales of goods is less than its cost; such difference is called
Loss. To compute for the profit we use:
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For examples:
1. Jenny bought a pen for Php120. Then sold it for Php80. How much is
Jenny’s gain or loss?
2. Ben bought an IPhone 4 which cost Php8,000.00 and sold it to his friend
for Php10,500.00. How much Ben’s gain or loss?
V. Activities
Compute the margin and mark-up using the data below. Write your answer
on the blank. Round off your percentage to two decimal places.
Complete the table below. Write your final answer for each number. Use
another sheet of paper for your computation of single trade discount. Round
off your percentage to two decimal places.
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Discounted
Original Price Trade Discount Discount Rate Price
Php6,000 Php4,200 (1) (2)
(3) Php50 25% (4)
(5) Php3900 (6) Php2,100
Php20,000 (7) 60% (8)
Php8,000 Php6,500 (9) (10)
Complete the table below by supplying the missing part of the discount
series using the complement of percentage.
Decimal Equivalent of
Percentage Complement of Complement of
Percentage Percentage
11% (1) 0.89
(2) (3) 0.43
3% (4) (5)
(6) (7) 0.80
14% (8) (9)
82% (10) 0.18
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B. Compute for the equivalent single discount of the following discount
series. Round off your answer to percentage.
A. Solve the following problems for profit and loss. Write your solution on
another sheet of paper.
2. Ben bought a notebook at Php30.00 each and sold it for Php40.00. How
much Ben’s profit or gain?
4. Ian bought a laptop from his neighbor at Php18,500.00 each. He sold one
of the laptop to his cousin at Php15,500.00 while the other one was sold
to his friend at Php20,200.00. How much is Ian’s profit or loss?
5. Find the percent gain or percent loss when a car bought for
Php925,000.00 is sold for Php850,000.
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________9. The cost of 10 pieces of banana cue per stick is Php100.00. It was
sold for 20 each.
________10. Gio bought a Harry potter book for Php1,300.00 and decided to
sell it to his best friend for Php1,000.00.
VI. Assessment
A. Multiple Choice. Read the following problem. Encircle the letter of the
correct answer.
1. The cost of an apple is Php72.00 per kilo and has the list price of
Php89.00 per kilo, what is the margin %?
A. 81% B. 23.6% C. 19.1% D.17%
2. For the same question on no.1, what is the mark-up if the list price is
Php89.00 and the cost is Php72.00?
A. 81% B. 23.6% C. 19.1% D. 17%
7. Jose bought 15 chairs for Php3,750.00. Then sold them for Php5,000.
A. Ph1,250 loss C. Php3,750 gain
B. Php1,250 gain D. Php50 loss
8. Find the net price of a Gucci bag that has a list price of Php16,000.00
and has a trade discount of 30%.
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A. Php48,000 B. Php11,200 C. Php22,850 D. Php16,000
VII. Reflection
Let’s say you are a seller, how will you apply the concepts of this lesson to
attract buyers?
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VIII. Reference
Books
Dagal, Keneth Adrian P., Martin-Lundag, Leah C., Lopez, Brian Roy C.,
Business Math 1253 G. Arneta Avenue, Quezon City, by Vibal Group, 2016.
Website
wps.prenhall.com
www.businessnewsdaily.com
www.enotes.com
smallbusiness.chron.com
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1. C 1. Php3,400 1. Php1,485
2. B 2. Php10 gain 2. Php2,800
3. A 3. Php100 loss 3. 50%
4. D 4. Php1,300 4. Php6,400
5. A loss 5. 50%
6. B 5. 8.82% 6. 28%
7. B 6. L 7. 44.75%
8. B 7. P 8. 55%
9. C 8. L 9. 58%
10.B 9. P 10.51.25%
10.L
Assessment Activity 5 Activity 4
1. 70%
1. 89% 1. Php10
2. Php,800
2. 57% 2. 5%
3. Php200
3. 43% 3. 5.26%
4. Php150
4. 97% 4. Php20
5. Php6,000
5. 0.97 5. 10%
6. 65%
6. 20% 6. 11.11%
7. Php12,000
7. 80% 7. Php30
8. Php8,000
8. 86% 8. 15%
9. 81.25%
9. 0.86 9. 17.65%
10.Php1,500
10.18% 10. 20%
Activity 3 Activity 2 Activity 1
IX. Answer Key
X. Development Team
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