Finances Accounting plays an important role in any business.

1. Finances Accounting plays an important role in any business. Why do you think it is important for a business to keep track of its expenses?

2. Lesson Objective Calculate the percent that a particular business expense is of the total expenses.

4. Example 1 Molded Plastic Products manufactures plastic buckets, containers, and other products. Records of Molded Plastic’s expenses for the first quarter of the year show the following:

5. Example 1 (cont.) What percent of total expenses did Molded Plastic spend on advertising during the quarter?

6. Example 1 Answer Step: Find the percent of the total. Particular Expense ÷ Total Expenses $8,557.65 ÷ $609,200.00 = 0.01404 or 1.40%

7. Practice 1 Particular expenses: Electricity $190 Water $ 34 Natural gas $245 Telephone $218 Telephone is what percentage of the total expenses?

8. Practice 1 Answer 31.7 percent

9. Practice 2 Particular expenses: Electricity $150 Water $ 80 Natural gas $208 Telephone $212 Water is what percentage of the total expenses?

10. Practice 2 Answer 12.3 percent