Republic of the Philippines

Department of Education
Region VII, Central Visayas
Division of Dumaguete City
DUMAGUETE CITY NATIONAL HIGH SCHOOL
Calindagan, Dumaguete City
School Year 2021 - 2022

Senior High School

(ABM)
1

Business Mathematics
Week 5 – Week 6

Author/Writer:
VANESSA P. SUMAGANG
SALVADOR G. AGUILAR JR
Revised and compiled by:

Clareen June E. Dagoy

(Subject Teacher)
 T h i s

self-learning kit will serve as a guide in differentiating mark-up from margins and describing how gross
margin is used in sales and in computing single trade discounts and discount series. It will be your aid as
you learn new ideas and enrich your existing knowledge about mathematical and business concepts.

In this learning kit, you will gain knowledge in differentiating mark-up from margins and
describing how gross margin is used in sales and in computing single trade discounts and discount series.
General Instruction:

1.Use the module with care. Do not put unnecessary mark/s on any part of the module.

2.Use a separate sheet of paper in answering the activities. (Remember to always put your name, week
number and the subject on your answer sheet)

3.Read the instruction carefully before doing and answering the activity.

4.Observe honesty and integrity in doing and answering the activities.

5.Begin and end this self-leaning module with gratefulness in your life and a smile in your face.

If you encounter any difficulty in answering this self-learning module, do not hesitate to contact
me through this number: 09606745598 or send me a message through my fb account: Clareen June
Dagoy. YOU CAN DEFINITELY DO THIS!

Lesson 1: Differentiating Mark-up from Margins

Week 5
Content Standard:
The learners demonstrate an understanding of key concepts in buying and selling

Performance Standard:
The learners are able to analyze and solve problems on important factors in managing a business: buying
products and selling products and business: buying products and
selling products.

Most Essential Learning Competency (MELC):

1. Differentiating mark-up from margins (ABM_BM11BS-Ih-3)
2. Describing how gross margin is used in sales (ABM_BM11BS-Ih-4)
3. Compute single trade discounts and discount series (ABM_BM11BS-Ih-5)

Objectives:

At the end of the lesson, the students are expected to:

1. differentiate markup from margins;
2. solve markup and margins; compute single trade discounts and discount series and find the net
invoice price using single trade discount and discount series; and
3. display independence compute single trade discounts and discount series.
Let us first unlock the two terms:
Markup is the amount added to the cost of the product that resulted a selling price. Moreover, if expressed in
percentage, markup percentage can be calculated by dividing markup amount and the product cost. It is also known as the
rate of markup based on cost. That is,

On the other hand, margin is the amount when the selling price is deducted by the product cost.
Thus, if expressed in percentage, margin can be calculated by dividing markup amount and the selling price. It is also
known as the rate of markup based on selling price. That is,’

Markup and margin seem to have the same meaning, yet they show different information when
expressed in percentage.
 WHAT I HAVE LEARNED
Direction:
Differentiate mark-up from margins in two sentences. Write your answer on a separate sheet of paper.
 Lesson 2:
Computing Single Trade Discounts and Discount Series
 *Based on
observation, using
Method 1 or Method 2
will generate the same result.
 POST TEST:
Do what is asked and write your answer in your answer sheet.

1. The net invoice price of a wall clock is ₱28,827.88. If the discount

granted was 18%. Find:
a) net invoice price rate
b) list price
c) discount

2. The net voice price of a dining table is ₱6,187.50, representing 75% of

the original price. Find:
a) original price
b) discount
c) discount rate

3. A washing machine listed at ₱20,040.00 is granted 20%, 10%, and 5%

discounts. Find:
a) net invoice price
b) discount

4. Complete the following.

 Lesson 1: Differentiating Profit from Loss
Content Standard:
The learners demonstrate an understanding of key concepts in buying and selling
Week 6
Performance Standard:
The learners are able to analyze and solve problems on important factors in managing a business:
buying products and selling products.

Most Essential Learning Competency (MELC):

Differentiate profit from loss (ABM_BM11BS-Ii-6)
Illustrate how profit is obtained and how to avoid loss in a given transactions (ABM_BM11BS-Ii-7)
Objectives:

At the end of the lesson, the learners are expected to:

1. define profit and loss;
2. differentiate profit from loss identify whether a business transaction incurs a loss; and
3. display interest and competence in identifying profit and loss in a given business situation which are important in
making decisions pertaining to business.

HOW DO YOU IDENTIFY PROFIT AND LOSS

 EVALUATION
A. Determine whether the statement shows a profit or loss situation. Write P for profit and L for loss. Write your answers
on your answer sheet.

_______1. Ben bought a pen at ₱10 each and sold it for ₱12.

_______2. Martha bought a scientific calculator at ₱2,000. When a new and upgraded model was released after two
months, she sold her scientific calculator for ₱1,200 to buy the new one.

_______3. A banana cue vendor gains an excess of ₱100 for selling it at ₱10 per stick.

_______4. The cost of 10 pieces personalized calendar is ₱850. It was sold for ₱150 each.

_______5. Joy bought a 16GB memory card at ₱600 and decided to sell it to her sister for ₱650.
 B. TRUE OR FALSE. Write True if the statement is True, write False if the
statement is False. Write your answers on your answer sheet.

______1. If your sales exceed the cost and expenses it means you are gaining.

______2. Profit is a financial gain which represents Cost minus Sales.

______3. If your cost is ₱5,000 and your total sales at the end of transactions is ₱4,900, we can still call it as a loss.

______4. We can identify loss if your cost exceeds your sales.

______5. Barbara bought a phone worth ₱10,000 with a less 20% discount from the store and sold it to her friend for
₱9,000. Barbara generally earned a profit in this transaction.

______6. In the profit and loss statement, a positive income represent a loss.

______7. Gross sales refer to the total sales after deducting sales discount and sales returns.

______8. A profit of a company can be identified using an income statement.

______9. Expenses is deductible to income.

______10. Loss can also occur when the Net sales is equal to cost.

Lesson 2:

Illustrating How Profit is Obtained and How to avoid Loss in a given Transaction

OBJECTIVES
At the end of the lesson, the learners expected to:
1. recall profit and loss;
2. illustrate how to gain profit and avoid loss in a given business transaction; and
3. display confidence in applying the concepts of profit and loss in doing business transactions.
POST TEST:
A. Solve the following problems. Write your answer in your activity sheet.
1. Greg bought a laptop for ₱28, 000 and spent ₱2,500 on its spares He later sold it for ₱25,000. How much Is Greg’s
profit / loss?

2. Alden went to Bicol and bought 25 packs of pili nuts for ₱875 with 10% discount. When he got back to Manila, he
sold15 packs for ₱675, and the rest at ₱40 each. How much profit / loss did Alden realized?

3. Arman sold a watch to his friend at a loss of 5%. If his friend paid ₱650 for it, find the original cost of the watch.

4. A mobile phone was sold for ₱4,800. Find the cost price of the mobile phone if the profit is 20%.

5. A shopkeeper buys digital camera at ₱5,400 each. Due to price fall in the market, he was forced to sell them at a loss of
15%. Find the selling price of each digital camera.

6. Alfred buys an old scooter for ₱14,700 and spends ₱1,800 on its repairs. If he sells the scooter for ₱15,800, what is his
percent gain or percent loss?

7. Find the percent gain or percent loss when a car bought for ₱925,000 is sold for ₱850,000.

8. Adrian bought 50 dozens of pencils at ₱60 a dozen. Out of these, 20 pencils were found broken due to his carelessness
during delivery. He sold the remaining pencils at ₱7 each. Find his percent gain or percent loss.

9. Martin bought 18 chairs at ₱350 each. He sold 12 of them at ₱450 each, and the remaining chairs at ₱300 each.
Calculate his percent gain or percent loss.

10. A dealer losses ₱5,000 when he sells a furniture at a loss of 10%. How much is the selling price of the furniture?
 B. Solve the following problems. Write your answers in your activity sheet.

Requirements:
1. Prepare a profit and loss statement (10 points).
2. Use the data in the profit and loss statement that you have prepared to identify whether this Summit Marketing Co. is
eligible to avail a business loan in your company (10 points).

DO NOT WRITE ANYTHING ON THIS MODULE