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Pearson Edexcel 4MA1 IGCSE  ·  Topic G5.3

G5.3 Reverse Percentages

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01 — Explanation

What makes a "reverse" percentage question different?

A normal percentage question gives you the original amount and asks for the amount after a change. A reverse percentage question does the opposite: it gives you the amount after a change (e.g. a sale price) and asks for the original (100%) amount before the change. Since the forward calculation is a multiplication, undoing it requires division.

02 — Explanation

How do I build the decimal multiplier?

For a change of r%r\%:

  • Increase: multiplier p=1+r100p = 1 + \dfrac{r}{100} — e.g. a 5%5\% pay rise gives p=1.05p=1.05.
  • Decrease: multiplier p=1−r100p = 1 - \dfrac{r}{100} — e.g. a 15%15\% discount gives p=0.85p=0.85 (the price left is 85%85\% of the original).

03 — Explanation

How do I find the original amount from the final amount?

The governing relationship is always:

Original×p=Final\text{Original} \times p = \text{Final}

so to reverse it:

Original=Final÷p\text{Original} = \text{Final} \div p

Example: A DVD player now costs £242£242 after a 15%15\% reduction. The multiplier is p=0.85p=0.85, so Original=242÷0.85=£284.71\text{Original} = 242 \div 0.85 = £284.71.

Exam Tip

This is the single most heavily tested error on this topic: students multiply by pp instead of dividing (calculating 242×0.85=£205.70242\times0.85=£205.70, which is smaller — illogical for an item before a discount). Sanity check: for a decrease, your answer must be bigger than the final amount; for an increase, it must be smaller than the starting point you're comparing... no — for an increase, the original must be smaller than the final value you're given. If your answer fails this check, you've multiplied instead of dividing.

04 — Explanation

How do I handle a profit, VAT, or pay-rise scenario?

The logic is identical — only the direction of pp changes. If Jennie's new salary is £31,500£31{,}500 after a 5%5\% rise: p=1.05p=1.05, so her old salary is 31,500÷1.05=£30,00031{,}500 \div 1.05 = £30{,}000. If a trader's final sale price of £465£465 includes a 15%15\% profit margin on the cost price: p=1.15p = 1.15, so cost price =465÷1.15=£404.35= 465 \div 1.15 = £404.35 (to 2 d.p.).

05 — Explanation

What if the percentage given is over 100%?

The method is unchanged — division still applies. If 150%150\% of a number is 690690: p=1.50p = 1.50, so the number is 690÷1.50=460690 \div 1.50 = 460.

Worked Example

A shop sells trainers at £68£68 after reducing the original price by 20%20\%. Find the original price.

  1. A 20%20\% reduction means the sale price is 100%−20%=80%100\%-20\%=80\% of the original: p=0.80p=0.80.
  2. Original×0.80=68\text{Original}\times0.80 = 68.
  3. Original=68÷0.80=£85\text{Original} = 68\div0.80 = £85.
  4. Check: 8585 is bigger than 6868, which makes sense for a price before a reduction. ✓

Exam Tip

Always write out "Let xx = original price" and the full equation x×p=final valuex \times p = \text{final value} before rearranging — this secures method marks even if your final arithmetic slips.

06 — Explanation

How does this extend to repeated percentage change?

Single reverse percentages are the foundation for reverse compound interest/depreciation, where a change is applied repeatedly over nn periods: Final=Original×pn\text{Final} = \text{Original}\times p^n. Reversing it uses exactly the same division logic, just with pp raised to a power: Original=Final÷pn\text{Original} = \text{Final}\div p^n.

Example: An investment is worth £432£432 after 3 years of 20%20\% annual compound interest. p=1.20p=1.20, n=3n=3, so Original=432÷(1.20)3\text{Original}=432\div(1.20)^3.

Exam Tip

Don't evaluate pnp^n separately and round it before dividing — compute (1.20)3(1.20)^3 in full and keep every decimal place until the final division, exactly as with single-step reverse percentages.