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Numeracy (National 4)

Percentages

Percentages are used for discounts, tax, interest, results, and comparing changes. A percentage means out of 100, so 40% means 40 out of every 100.

Qualification focus: Simple percentages · Percentage increase and decrease · Fraction-decimal-percentage equivalence

Topic explanation

To find a percentage of an amount, change the percentage into a decimal, then multiply. For example, 15% is 0.15, so 15% of £80 is 0.15 × 80 = £12.

For an increase, find the percentage amount and add it to the original. For a decrease, such as a discount, subtract the percentage amount from the original.

Finish practical percentage questions by stating what the new amount means, such as the sale price, increased cost or remaining quantity.

Quick methods

10%
Divide by 10.
5%
Find 10%, then halve it.
25%
Divide by 4.
Increase by 20%
Multiply by 1.20.
Decrease by 20%
Multiply by 0.80.

Worked examples

Example 1

Find 10% of £80.00.

  1. 10% means one tenth of the amount.
  2. Divide 80 by 10.
  3. 80 divided by 10 = 8

So: 10% of £80.00 is £8.00.

Example 2

A jacket costs £45.00. It has 20% off. What is the sale price?

  1. First find 10% of £45.00: 45 divided by 10 = £4.50
  2. 20% is double 10%, so £4.50 × 2 = £9.00
  3. Take the discount away: £45.00 − £9.00 = £36.00

So: The sale price is £36.00.