OBJECTIVES:
At the end of this module, you should be able to;
identify and define base, rate, and percentage.
explain the relationship between base, rate, and percentage.
solve for the base, rate, and percentage.
Problems concerning commissions and overrides, trade and sales discounts, depreciation using periodic rates, analysis of financial statements, and a lot more business problems are solved with the use of the basic formula showing he relationship between the base, the percentage, and the rate. Assuming a delivery vehicle is depreciated at the rate of 10% annually and it costs ₱200 000.00. The yearly depreciation of the vehicle will be ₱200 000.00 x 10% = ₱20 000.00. The base here is the cost of the vehicle, ₱200 000.00, the rate is the 10%, and the percentage is the ₱20 000.00.
Using our basic formula P = BR, we substitute and see that our relationship and solution are correct:
P = B x R
₱20 000.00 = ₱200 000.00 x 10%
₱20 000.00 = ₱20 000.00
In business, decision makers like managers, owners, and creditors use the financial statements issued by a company to make financial analysis to arrive at basic decisions like planning to continue the business for owners, maintaining or changing current plans for managers, and continuing to grant credit for creditors. In financial analysis, we determine the percent of increase or decrease in sales or net profit. In this case, we use our knowledge on base, rate, and percentage.
Base (B) refers to that number of which a certain number of hundredths is taken. Base and percentage are compared to obtain the rate. As the basis of comparison, base is the number generally preceded by the words "of," "as much as," "as large as," "as many as," and "as great as." Also, it is regarded as the whole.
Rate (R) refers to the number of hundredths taken. It is the result of comparing a number (percentage which is regarded as the portion or part) to another number (base which is regarded as the whole). It can be expressed in percent, decimal, or fraction.
Percentage (P) is the part considered in its quantitative relation to the whole. In other words, it is the part of the whole and the number being compared to another number (base). The result obtained when the rate is applied to the base is the percentage. It is expressed in the same unit as the base, that is, if the base is in pieces, the percentage is in pieces; if the base is in number of students, the percentage is in number of students. It is never expressed in percent, which is the common mistake of students.
Please copy and answer the following on a sheet of paper. Include your solutions when submitting. Make sure your handwriting is readable. Take a picture then submit it on Google Classroom.
MAKE IT A HABIT TO FOLLOW INSTRUCTIONS.
32% of ₱85 is how much?
75% of what amount is ₱243.75?
25% of a number is 23.4375. Find the number.
Mila was given ₱9 375.00 representing a 1/2 share in the profit of the EMM Trading. How much was the profit of the firm?
Esther earned ₱528.00 for the week. If she saved ₱128.00, how many percent of her earnings did she save?