"If a shirt that costs $40 is reduced to $32, what percentage of a discount is this?" " The amount that exists after the percentage has been applied can also be called the "new amount". For our question, we do not know the percent. We know that $40 is the original, and that's $32 is the "after." Make sure the "after amount" goes into the calculator first.  For our example, type 32, hit divide, type 40, hit equals. This division gives us: 0.8. (It's not the final answer.) For our sample problem, 0.8 changes to 80%. If your answer is smaller than 100%, you have a decrease or discount; larger than 100% is an increase.  Because the price in the example dropped, and the price that we calculated is also a discount, we're on the right path. If the price in the example dropped from $40 to $32, however, and we got 120% after our calculation, we'd know that something is wrong because we're looking for a discount and we got an increase. Figure out how much above or below 100% you are and this will be your final answer.  In our sample problem, 80% compared to 100% means that we had a discount of 20%. To get the hang of things, read the prompt and see if you understand how to finish the following problems:  Problem #1: "A $50 blouse is now $28.  What was the percentage of discount?"  To solve it, grab a calculator. Enter '28,' hit divide, enter '50,' hit equals; the answer is 0.56. Convert '0.56' to '56%'. Compare this number to 100%, subtracting '56' from '100', leaving us with a discount of 44%.   Problem #2: "A $12 baseball cap is $15 after tax.  What was the sales tax percentage?"  To solve it, grab a calculator. Enter '15', hit divide, enter '12', hit equals; the answer is 1.25. Convert '1.25' to '125%'. Compare this to 100%, subtracting '100' from '125', leaving us with an increase of 25%.

Summary:
Use the perfect percentage method for the following sorts of problems: Decide which number represents the original amount and which represents the "after amount. Divide the "after amount" by the original amount. Move the decimal point two places to the right to change it from a decimal to a percent. Compare that percentage to 100%. Compare your percentage to 100%. Practice on the following examples.