CHAPTER 1

Pre-test

Encircle the correct answer:

C 1. Multiply 0.06 by 0.021

A) 0.0126 B) 0.0000126 C) 0.00126 D) 0.126 E) None
of these

B 2. Divide 4.2 by 0.07

A) 1.33 B) 60 C) 6 D) 600 E) None
of these

D 3. 9 – 3 (2+6)÷6 -2 × 5
A)-2 B) 35 C) 5 D) -5 E) None
of these

C 4. The decimal equivalent of is:

A) 4.44 B) 2.25 C) 0.225 D) 0.0225 E) None
of these

A 5. Express0.275 as a common fraction in lowest terms:

A)11/40 B) 11/80 C)22/80 D)11/25 E) None
of these

B 6. Express as a percent:
A).4% B) 20% C) 4% D) 2% E) None
of these

B 7. 60% of $10.60
A) $1.63 B) $6.36 C) $63.60 D) $16.31 E) None
of these

A 8. 24 is what percent of 40?

A) 60% B) 3.75% C) 6% D) 37.5% E) None
of these

A 9. 0.85 is 25% of what sum?

A) 3.4 B) 34 C) 21.25 D) 2.125 E) None
of these
A 10. 36 is what percent of 30?
A) 83.3% B) 90% C) 120% D) 72% E) None
of these

POST TEST

1. Suppose you’re promised a 104% increase in salary if you agree to stay

in your position for another 5 years. If you’re currently earning $87,000,
what will your salary be for the next 5 years?

=My salary for the next five years is $177,480

2. Convert first into Decimal then into Fraction:

1.15%
=0.15=3/20

2.1.25%
=0.0125=1/80

3. 23.4%
=0.234=117/500

4.8%
=0.08=2/25

5. 255%
=2.25=211/20

3. Fraction to Percent:
1. 4/5
=80%

2. 12/9
=133.33%

3. 42/60
=70%

4.23/100
=70%
 CHAPTER 2

PRE TEST

1. Find the percent increase and new salary if your employer is

going to give you a 5% increase on your current salary of
$48,200.

=5 increase and the new salary $50.610

2. Suppose that your best salesman sold 400 cars last year and
437 cars this year. What was the percent increase of his sales?

=The percent increase is 9.25%

POST TEST

1. Increase 150 by 10 % and decrease the same by 15 %. Find the new number
in each case.

=150 increased by 10% is 165

2. The population of a place in a particular year increased by 15 %. Next year it

decreased by 15%. Find the net increase or decrease per cent in the initial
population.

=Decreased by 2.25%

3. While measuring a line segment of length 5 cm, it was measured 5.2 cm by

mistake. Find the percentage error in measuring the line segment.

=The percentage error in measuring the line segment is 4%

4. A number is increased by 40 % and then decreased by 40 %. Find the net

increase or decrease per cent.

=Net percentage decrease is 16%

5. The price of wheat increased by 10 %. By how much per cent should mother
reduce her consumption in the house so that her expenditure on wheat does not
increase?
=9%

CHAPTER 3

Pre-test:
1.) Write the following as percent’s:
a) 1/ 2 = 50%
b) 0.75 = 75%
c) 3/ 8 = 37.5%
d) 1.5 = 150%
e) 2 /3 = 66.666%
f) 5.3 = 530%
g) 7/6 = 166.67%
h) 1 = 1%
2.) A $200 bicycle is on sale with a 30% discount. How much is the sale price?

a) How to get the cost?

Divide the original price by 100 and multiply it by 30.

b) Discount =30%

c) Cost =$200 = $60

3) Why can you solve percent problems as a proportion problem?
=Use cross product to determine if the two ratios form a proportion.

Exercises:
1. A baker uses a ratio of 2 eggs for every 5 cups of flour in a certain
recipe. If he uses 14 eggs, how many cups of flour will be needed?
N= 35

2. An investment of P 5, 000.00 produces a net income of P 15,000.00

Assuming all factors being equal, how much investment is needed to
earn a net income for P 25,000.00?
N=P 8,333.33

POST TEST

1.) At a supermarket, a certain item has increased from 75 cents per

pound to 81 cents per pound. What is the percent increase in the
cost of the item?
The percentage increase(81.75)/75 *100=8%
N=8%
2.) Four feet are cut from a 12-foot board. What is the percent decrease
in length?
4 feet/12 foot = 3333*100 =33.3%

3.) Find the number in each case.

a) 48% of a number is 12. =25
b) 48% of 25. =12
c) 12 is what percent of 25 =48
d) 9 is 15% of a number. =60
e) 15% of 60. =9
f) 9 is what percent of 60 =15%
g) 160% of 60. =96
h) 96 is what percent of 60 =160%
i) 96 is 160% of a number =60

4.) An item used to sell for seventy-five cents a pound, and you see
that it's been marked up to eighty-one cents a pound. What is the
percent increase?
=81-75=6(6;75)(1)=8%

5. The population of Alberta was 3,433,145 in 2008 and 3,520,268 in

2009. Was this an increase or a decrease and calculate the percent.
=It was increase and the percent is 2.5%

CHAPTER 4

Pre-test:

1. The difference between Compound Interest and Simple Interest

on a certain sum of money at 10 % per annum for 3 years is
P930. Find the principal if it is known that the interest is
compounded annually.
x=63100

2. The cost of a new washing machine is P12000. Its value

depreciates every year at the rate of 10%. What will be its value
after three years?
x=8812

3. A certain principal amount to P15000 in 2.5 years and to P16500

in 4 years at the same rate of interest. Find the rate of interest.
The rate of interest is 8%
4. In what time will P3000 amount to P3,646.50 at 5% compound
interest.
4 years

5. How long will it take a certain amount to increase by 30% at the

rate of 15% simple interest?
After increase of 30%=130 X=2yrs

POST TEST

1. Suppose Jake borrows $4,000 for a new piece of equipment. He

borrows the money for 2 years at 11.5% interest. How much does he
pay in interest, and what’s the total amount he has to repay?
The total interest paid is $496.67 and the total amount he has to repay is $4,496.67

2. Auntie Em took out a loan for a new television set 2 years ago and
agreed to pay $121.88 each month for 5 years at 121
⁄2% interest.
How much did the TV cost (before interest is added in)?
The TV cost is $2,419.83

3. Say Abigail is borrowing $6,000 for 3 months at 8% simple interest.

How much does she repay at the end of 3 months?
She has to pay $6,080.18 at the end of 3 months

PRE TEST

Trade discounts For Problems 1 and 2 determine the trade discount

amount and the net price.
Product List price Trade discount rate Trade discount amount Net price
Computer $1,200 30% ? ?

Product List Price Trade Trade Net Price

Discount Rate Discount
amounts
Computer $1,200 30% $360 $840
Copy machine $700 $25% $175 $525
 For problems 3 and 4 find the net price using the net complement of the trade discount
rate

Product List Price Trade Complement of Net Price

Discount Rate rate
Computer $1200 30% 70% $840
Copy machine $700 25% 75% $525

How much is the discount for an item with a list price of P1200 subject to 15 % discount? What
is its net invoice price?
The discount amount is P211.76 and it’s net invoice price is P1,411.76

CHAPTER 6

Post-test:
Marked Price
1. The market price of a chair was P 1200. This price was 20% above the cost
price. It was sold at a discount of 10% on the marked price. Find the profit percent.
A. 6 % B. 4 % C. 8 % D. 5 %

ANSWER: C

Discounts
1. A dozen pairs of socks of P 80 are available at a discount of 10%. Find out how
many pairs of socks can be bought for P 24.
A. 2 B. 4 C. 6 D. 8
ANSWER: B

2. A merchant decided to mark up his goods by 20% and then offered 10%
discount. What will be a percentage of profit or loss?
A. 8% profit B. 8% loss C. 4% loss D. 4% profit
ANSWER: A

3. A superstore marks its goods by a certain percentage over the past price and
then offers a discount of 40%. Using this method, they make 5% profit. Find the
percentage by which the goods were marked up.
A. 60 % B. 70 % C. 72 % D. 75 %
ANSWER: D
4. A trader allows a discount of 10% on the market price of the goods. He still
manages to make a profit of 17% on the cost price. What will be profit percentage
had the trader sold the goods at the market price?
A. 10 % B. 20 % C. 30 % D. 40 %
ANSWER:C

5. A merchant sold goods at 10% discount and earned a profit of 20%. What would
be the percentage of profit if no discount was offered?
A. 32.32 % B. 33.33 % C. 34. 5 % D. 35. 6 %
ANSWER:B

CHAPTER 7

Pre-test:

A. Assume that an employee has an annual salary of P 144,000. Compute for the
ff:
1.Monthly Salary = 12,000
2.Semi- Monthly = 5,538
3.Weekly Salary = 2,769
4.Bi-Weekly Salary = 8,307

POST TEST

Write your answers to the nearest cent where necessary.

1 Ling earns P11.95 per hour. How much is she paid for working:
a 8 hours? (8)(11.95)= 95.6
b 15 hours?(15)(11.95)=179.25
c 38 hours? (38)(11.95)= 454.1

2. Kathy is paid P8.50 per hour to mow lawns. How much will he receive for a
job taking 2 1 2 hours?
8.50÷2 = 4.25
8.50x2 = 17
17+4.25 = 21.25
3. Nadine works 3 days per week, for 8 hours per day. She earns P15.70 an
hour. How much will she earn for a week of work?
(8)(15.70) =125.6
125.6x3 = 376.8

4. Boris works from 8.00 a.m. to 4.30 p.m., 5 days a week. If he earns P12.15
per hour, how much will he receive for the week?
12.15÷2 = 6.075
12.15x8 = 97.2
97.2+6.075=103.275
9.79÷2 = 4.895
9.79x8 = 78.32
78.32+4.895 = 82.215

5. Ali works a 9-day fortnight, 8 1 2 hours a day at a rate of P9.79 per hour.
What is his wage for the fortnight?
9.79÷0.5 =19.58
9.79x8 = 78.32
78.3

6. Peter earns a salary of P49,671. How much would he receive if he was paid:
a weekly? b monthly?c fortnightly?
B.Monthly

7. Madonna earns P10.27 per hour. How much will she earn for working
7 hours each weekday and 5 hours on Saturday? _________
(10.27)(7) = 71.89
(10.27)(5) = 51.35
51.35+71.89 = 123.4

8. An electrician earns P18.35 per hour. How much will he earn for a job that
lasts from 11.30 a.m. to 2.00 p.m.?
18.35÷2 = 9.175
18.35x3 = 55.05
55.05+9.175 = 64.225

9. Teacher’s Assistant … P11.80 per hour 10.00 a.m.–2.30 p.m. … 4 days a

week a How many hours are worked each week?
18 HOURS

10. What is the weekly pay?

11.80÷0.5 = 23.6
11.80x4 = 47.2
47.2+23.6 = 70.8
70.8x4 = 283.2

CHAPTER 8

Pre-test:
From the following particulars, you are required to find out the errors in cash book
and bank statement by using missing method and prepare Bank Reconciliation
Statement as on December 31, 2019 for Chand Bibi Ltd:

i) Bank balance overdraft as per cash book

…………………………………………………….. 80,000
(ii) Check recorded for collection but not sent to the
bank ………………..………………… 10,000
(iii) Credit side of the cash book cast short
………………………………………………………… 1,000
(iv) Premium on proprietor’s Life Insurance Policy (LIP) paid on standing order
……………..…5,000
(v) Bank Charges recorded twice in the cash book
…………………………………………………… 100
(vi) Customer’s check returned by the bank as dishonored
………………………………………. 4,000
(vii) Bill Receivable collected by the bank directly on the behalf of company
……………………. 20,000
(viii) Check received entered twice in the cash book
………………………………………………….. 6,000
(ix) Check issued but dishonored on technical grounds
………………………………………………. 3,000
(x) A checks deposited into the bank of worth P45,000 but P 8,000 check was
not collected by bank

CASHBOOK
v. Twice recording 100 i. Balance 80,000

vii. Direct collection 20,000 iii. Cash short 1,000

ix. Dishonored check 3,000 iv. Life Insurance Policy 5,000

vi. Dishonored check 4,000

viii. Twice recording 6,000

 BANK STATEMENT
ii. Not send check 10,000
x. Uncredited 8,000

Chand Bibi Ltd

Bank Reconciliation Statement
As on December 31st, 2019

i.Balance As per Cash Book (Cr) 80,000

Add:
iii. Credt side of the cash book cast short 1,000
iv. Premium on Life Insurance Policy paid on 5,000
standing order
vi. Customer’s check returned by the bank as 4,000
dishonored
viii. Check received entered twice in the cash 6,000
book
ii. Check recorded for collection but not sent to 10,000
the bank
x. Check was not collected by bank 8,000 34,000
114,000
Less:
v. Bank Charges recorded twice in the cash book 100
vii. Bill Receivable collected by the bank directly 20,000
on the behalf of company
ix. Check issued but dishonored on technical 3,000 (23,100)
grounds
Balance As per Bank Statement (Dr) P90,900

Post-test:

Question: Who prepares the bank reconciliation statement?

=Accountant

Question: What is the need to prepare Bank Reconciliation Statement?

=BRS is prepared on a periodical basis for checking that bank related transactions are
recorded properly in cash book's bank column and also by the bank in their books. BRS
helps to detect errors in recording transactions and determining the exact bank balance
as on a specified date

Question: Who prepares the Bank Reconciliation Statement for private firms?
=Accountant

Question: Which accounts should be reconciled monthly?

=Balance sheet accounts

Prepare Bank Reconciliation Statement for the month of December, 2019

by missing method using T accounts (for cash book and for bank
statement) and Reconciliation Statement:
The cash book of M/S Universal Trading Company shows a cash book balance
of P 102,568 in Soneri bank Ltd. as of 12/31/2019
In January, 2020 the firm received a bank statement for the month of December,
2007 showing a credit balance of P118,068. Comparison of bank statement with
the cash revealed the following anomalies.
i. Check issued totaling P 115,250 recorded in cash book but not appeared in
the bank statement.
ii. Check received from customers amounting to P 75,850 deposited and
properly accounted for in the cash book was not credited by bank.
iii. Check received from the following customers were returned unpaid by the
bank.
iv. Check from Ghazi Autos received on 12/5/2019 for P 1,200.
v. Check from Rahil Bros. received on 12/20/2019 for P 18,500.
vi. Check form Akmal Sons was received on 12/27/19 for P 2,000.
vii. Excise duty debited by bank P200.
viii. Bank charges debited by bank P 1,200.
ix. Charged commission on collection of outstation check by bank of worth
P 800.

CASH BOOK
Balance 102,568 (iii) Unpaid Checks
(a) Ghazi Autos 1,200

(b) Rahil Bros 18,500

(c) Akmai 2,000

(iv) Excise duty 200

(v) Bank charges 1,200
 (vi) Charged commission 800

Bank statement
(i) Not Appear 115,250 Balance 118,068
(ii) Uncredited check 75,850

M/S Universal Trading Company

Bank Reconciliation Statement
As on December 31st, 2019

Balance As per Cash Book (Dr) P102,568

Add:
(i) Not Appeared Check 115,250

217,818
Less:
(iii) Unpaid Checks:
(a) Ghazi Autos 1,200

(b) Rahil Bros 18,500

(c) Akmal 2,000

(iv) Excise duty 200