Business Math

Business Math

by jay yasis

Review Part II

Target Competencies

​At the end of the lesson, students will be able to:

​1. Solve and understand commission, simple interest, and mortgage.

​

​2. Solve and understand salary, overtime pay, and benefits

Open Ended

Marco is a carpenter in ABC construction firm. Most of the time, he works almost 12 hours and his daily rate is Php 373.00. If he works 72 hours within a week, how much is the overtime pay he should receive at the end of the week using time-half computation?

Multiple Choice

Reina sells RTW and is paid a straight commission of Php 25.00 on each dress . Everyday she's able to sell 100 dresses. What is the amount of her commission?

• Php 25.00

• Php 250.00

• Php 2 500.00

• Php 25 000.00

​Reina sells RTW and is paid a straight commission of Php 25.00 on each dress . Everyday she's able to sell 100 dresses. What is the amount of her commission?

​Solution

​Given: No of item sold = 100 ; straight commission per item = Php 25.00

​

​Commission = No. of item sold * straight commission per item

​Commission = 100 * 25.00

​Commission = 2 500.00

Open Ended

Anton ask his best friend Lia to sell his Kwek-Kwek with 15 % commission for every Php 100 pesos. At the end of the day Lia's revenue for kwek-kwek is amounting to Php 1 500. How much is the amount of her commission?

Anton ask his best friend Lia to sell his Kwek-Kwek with 15 % commission for every Php 100 pesos. At the end of the day Lia's revenue for kwek-kwek is amounting to Php 1 500. How much is the amount of her commission?

​Solution

​Given: Sales (Cost of Goods sold) = 1 500 ; rate of commission = 15 %

​

​Commission = Sales * rate of commission

​Commission = 1 500 * 0.15

​Commission = 225.00

Open Ended

 As newlyweds, Mr. And Mrs. Martinez wanted to purchase their dream house worth ₱2,300,000.00 and the bank requires 12% down payment. Find the amount of mortgage.

 As newlyweds, Mr. And Mrs. Martinez wanted to purchase their dream house worth ₱2,300,000.00 and the bank requires 12% down payment. Find the amount of mortgage.

​Solution

​Given: Rate of downpayment = 12% ; Cash price= 2, 300, 000

​

​Mortgage = Cash Price - Downpayment

Mortgage = 2, 300, 000 - (2, 300, 000 * 0.12%)

​Mortgage = 2, 300,000 - 276, 000

Mortgage = 2, 024, 000

Multiple Choice

 As newlyweds, Mr. And Mrs. Martinez wanted to purchase their dream car worth ₱1,075,000.00 and the car dealer requires ₱ 250,000.00 down payment. Find the amount of mortgage.

• Php 250 000

• Php 750 000

• Php 825 000

• Php 1 325 000

 As newlyweds, Mr. And Mrs. Martinez wanted to purchase their dream car worth ₱1,075,000.00 and the car dealer requires ₱ 250,000.00 down payment. Find the amount of mortgage.

​Solution

​Given: Downpayment = 250 000 ; Cash price= 1 075 000

​

​Mortgage = Cash Price - Downpayment

Mortgage = 1 075 000 - 250 000

Mortgage = 825 000

Open Ended

Mr. Cruz borrowed Php 200 000.00 from the bank with a simple interest of 3 % per annum. If the loan is payable for 2 years, how much is the interest after maturity date?

Mr. Cruz borrowed Php 200 000.00 from the bank with a simple interest of 3 % per annum. If the loan is payable for 2 years, how much is the interest after maturity date?

​Solution

​Given: Interest rate = 3 %; Principal = 200 000 ; Time = 2 years

​

​Interest = Prt

Interest = 200 000 0.03 * 2

​Interest = 6 000 * 2

Interest = 12 000

Multiple Choice

Mr. Cruz borrowed Php 100 000.00 from the bank with a simple interest of 5 % per annum. If the loan is payable for 3 years, how much is the interest per year?

• Php 500

• Php 5 000

• Php 15 000

• Php 50 000

Mr. Cruz borrowed Php 100 000.00 from the bank with a simple interest of 5 % per annum. If the loan is payable for 3 years, how much is the interest per year?

​Solution

​Given: Interest rate = 5 %; Principal = 100 000 ; Time = 3 years

​

​Interest = Prt

Interest = 100 000 0.05 * 1

​Interest = 5 000 * 1

Interest = 5 000

Open Ended

Julie is a baker with a monthly salary of Php 10,000.00. How much is her annual salary?

Julie is a baker with a monthy salary of Php 10,000.00. How much is her annual salary?

​Solution

​Given: Monthly salary = 5 %; No of period = 12

​

Annual salary = monthly salary * 12 mons period

Annual salary = 10 000 * 12

Annual salary = 120 000

Multiple Choice

Julie is a baker with a monthly salary of Php 10,000.00. How much is her daily rate using the accounting standard of 313 days?

• Php 333.33

• Php 31.95

• Php 383.39

• Php 373.75

Julie is a baker with a monthly salary of Php 10,000.00. How much is her daily rate using the accounting standard of 313 days?

​Solution

​Given: Monthly salary = 10 000; No of days in a year = 313

​

Daily rate = Annual salary / 313 days

Daily rate = (10 000 * 12 mons) / 313 days

​Daily rate = 120 000 / 313

Daily rate = 383.39

Open Ended

Marco is a carpenter in ABC construction firm. Most of the time, he works almost 12 hours and his daily rate is Php 373.00. If he works 72 hours within a week, how much is the overtime pay he should receive at the end of the week using time-half computation?

Marco is a carpenter in ABC construction firm. Most of the time, he works almost 12 hours and his daily rate is Php 373.00. If he works 72 hours within a week, how much is the overtime pay he should receive at the end of the week using time-half computation?

​Solution

​Given: Daily rate = 373; No of hours work = 72

​

Overtime pay = (No of hour work - Reg work hour) * hourly rate * 1.5

Overtime pay = (72 - 48) * (373/8) * 1.5

Overtime pay = 24 * 46.625 * 1.5

​Overtime pay = 1 119 * 1.5

Overtime pay = 1 678.50

Multiple Choice

Which of the following is an example of non-taxable compensation

• Cost of Living Allowance

• Transportation Allowance

• 13th Month Pay

• Basic salary

Multiple Choice

The following are mandatory benefits given to wagge earner, EXCEPT.

• 13th month pay

• Bonus

• SSS membership and contribution

• Pag-ibig membership and contribution