Money and Change — Shopping & Getting Change
Every time you go to a store you need to know how much your items cost, how much to pay, and how much change to expect. This is an important life skill! In this page we will practise calculating the total cost of a purchase, checking whether you have enough money, and working out the exact change.
Background and Basic Definitions
Key terms:
- Price — how much one item costs.
- Total cost — the sum of all the items you bought.
- Payment — the amount you hand to the cashier.
- Change — the money you get back when you paid more than the total cost.
Formulas:
\[ \text{Total cost} = \text{Price} \times \text{Quantity} \]
\[ \text{Change} = \text{Payment} - \text{Total cost} \]
Common banknotes and coins:
| Banknotes | Coins |
|---|---|
| $100, $50, $20, $10, $5, $1 | 50¢, 25¢, 10¢, 5¢, 1¢ |
When the total includes cents, we usually round to the nearest whole unit.
Solution Steps
- Step 1 — List every item you bought with its price.
- Step 2 — If you bought several units of the same item, calculate: \( \text{Price} \times \text{Quantity} \).
- Step 3 — Add all the amounts together to get the total cost.
- Step 4 — Check: do you have enough money to cover the total cost?
- Step 5 — Calculate change: \( \text{Change} = \text{Payment} - \text{Total cost} \).
- Step 6 — Check: change cannot be negative and cannot be greater than the payment.
Worked Examples
Example 1: Simple Purchase — Three Items
Problem: Danny bought at the supermarket: bread for $9, milk for $7, and yogurt for $6. How much did he pay in total?
Solution:
- Item 1: bread — $9
- Item 2: milk — $7
- Item 3: yogurt — $6
- Total cost: \( 9 + 7 + 6 = 22 \).
Answer: Danny paid $22 in total.
Example 2: Calculating Change — Paying with a Banknote
Problem: Riva bought chocolate for $8 and juice for $11. She paid with a $50 bill. How much change did she receive?
Solution:
- Total cost: \( 8 + 11 = 19 \).
- Payment: $50.
- Change: \( 50 - 19 = 31 \).
- Check: \( 19 + 31 = 50 \) — correct!
Answer: Riva received $31 in change.
Example 3: Multiple Units of the Same Item
Problem: Mum bought 4 bottles of water, each costing $5, and one cake for $34. How much did the whole purchase cost?
Solution:
- Cost of bottles: \( 4 \times 5 = 20 \).
- Cost of cake: $34.
- Total: \( 20 + 34 = 54 \).
Answer: The purchase cost $54 in total.
Example 4: Do You Have Enough Money?
Problem: Gil has $35 in his wallet. He wants to buy a ball for $18 and sunglasses for $22. Does he have enough?
Solution:
- Total cost: \( 18 + 22 = 40 \).
- Money in wallet: $35.
- Comparison: \( 35 \lt 40 \) — he does not have enough.
- He is short: \( 40 - 35 = 5 \).
Answer: Gil does not have enough money. He is $5 short.
Example 5: Change from a Complex Purchase
Problem: Yael bought 3 notebooks at $7 each and 2 pencils at $4 each. She paid with a $100 bill. How much change does she get?
Solution:
- Cost of notebooks: \( 3 \times 7 = 21 \).
- Cost of pencils: \( 2 \times 4 = 8 \).
- Total cost: \( 21 + 8 = 29 \).
- Change: \( 100 - 29 = 71 \).
- Check: \( 29 + 71 = 100 \) — correct!
Answer: Yael will receive $71 in change.
Common Mistakes
✗ Common mistake: Applying price × quantity only to some items and adding single-unit items directly without thinking.
✓ The correct way: For any item where you bought just one unit, its price goes straight into the total. It helps to make a table listing each item, quantity, and cost before adding everything up.
✗ Common mistake: Calculating change as total cost minus payment (instead of payment minus total cost) and getting a negative number.
✓ The correct way: Change is always: how much you gave minus how much the goods cost, i.e. \( \text{Change} = \text{Payment} - \text{Total cost} \). If the result is negative, there is a mistake.
✗ Common mistake: Forgetting to check whether the available money is enough before calculating change.
✓ The correct way: Always compare first: is payment ≥ total cost? Only if yes can the change be positive.
Practice Tips
- Tip — write each item on a separate line with its price before adding. Being organised prevents mistakes.
- Tip — quick check: total cost + change = payment. If both sides match, the calculation is correct.
- Tip — when buying several identical items, use multiplication instead of repeated addition: \( 5 \times 7 = 35 \) is faster than \( 7+7+7+7+7 \).
- Tip — in a real shop, round prices to the nearest dollar to estimate the total in your head before paying.
Summary and Key Formulas
Key formulas:
- Total cost = \( \text{Price} \times \text{Quantity} \) (for each item), then add them all.
- Change = \( \text{Payment} - \text{Total cost} \)
- Check: \( \text{Total cost} + \text{Change} = \text{Payment} \)
If total cost > payment — you do not have enough money and cannot complete the purchase!