Consumer math is a branch of math that uses basic math skills in real life situations like shopping, calculating taxes, estimating monthly budget, calculating interest rate for a loan, etc. Teaching kids about spending, saving and other aspects of "money math" will prepare them to make better financial decisions.
When you round $35.98 to the nearest dollar, you get $36.
Next you calculate 20% of $36
`36` x`20/100` = `7.2`
So, 20% tip on a bill of $35.98 is approximately $7.2
First calculate the discount price by multiplying the rate by the original price.
`30` x `40/100`=12
So, the discount price is $12
Now subtract the discount price from the original price to find out the sale price.
30 – 12 =18
The sale price is $18
Just divide the total cost by the quantity to get the unit price.
`5.50/10` = `0.55`
The unit price is $0.55 per battery.
|Budget||It is income and expenses for a given period of time.|
|Debt||Money that is owed or due.|
|Expense||Money spent on buying things.|
|Salary||Payment made to an employee.|
|Utilities||Cost for electricity, water, gas, etc..|
|Loss||A reduction in the value of an investment.|
|Profit||Money earned from a business activity.|
|Tip||Money given to a worker such as a waiter to express appreciation for service.|
|Percent||One part of a hundred.|
|Unit price||Cost of one unit of measure of an item.|
|Simple interest||Interest calculated on the principal of a deposit or loan.|
|Compound interest||Interest added to the principal amount so that the added interest also earns interest.|
|Discount||Deduction from the usual cost of a thing.|
|Loan||Money that you borrow and must pay back with interest.|
|State tax||Money that the state collects based on your earned income.|
|Bonds||A loan you give to company or government at a pre-determined interest rate and for a specific time .|
|Sales tax||Tax paid for the sales of goods and services.|
|Commission||Money paid to an employee or agent based on percentage of the sales made.|
In the following pages, we will talk about percentage, simple interest and compound interest.