Money Word Problems (Grade 5)
Money word problems in Class 5 go beyond simple addition and subtraction. You will work with multi-step problems involving buying and selling, profit and loss, bills, budgets, and change calculations.
Indian currency uses rupees (₹) and paise. Remember: ₹1 = 100 paise. In Class 5, most problems use rupees with decimals (e.g., ₹45.50 means 45 rupees and 50 paise).
These problems develop real-life financial skills: calculating totals at a shop, comparing prices, making budgets, and understanding concepts like profit and loss.
What is Money Word Problems - Class 5 Maths (Money)?
Money word problems are questions that describe real-life situations involving buying, selling, saving, or spending money. They require you to use arithmetic operations with money amounts.
Key concepts:
- Cost Price (CP): The price at which an item is bought.
- Selling Price (SP): The price at which an item is sold.
- Profit: When SP > CP. Profit = SP − CP.
- Loss: When CP > SP. Loss = CP − SP.
- Discount: Reduction from the original (marked) price.
Money Word Problems (Grade 5) Formula
Profit = Selling Price − Cost Price
Loss = Cost Price − Selling Price
Change = Amount paid − Total cost
Solved Examples
Example 1: Example 1: Total Cost and Change
Problem: Priya buys a pencil box for ₹85.50 and a water bottle for ₹124.75. She pays ₹250. How much change does she get?
Solution:
Step 1: Total = 85.50 + 124.75 = ₹210.25
Step 2: Change = 250.00 − 210.25 = ₹39.75
Answer: Priya gets ₹39.75 change.
Example 2: Example 2: Buying Multiple Items
Problem: Aman buys 5 kg of rice at ₹60 per kg and 3 kg of sugar at ₹45 per kg. Find the total cost.
Solution:
Step 1: Rice = 5 × 60 = ₹300
Step 2: Sugar = 3 × 45 = ₹135
Step 3: Total = 300 + 135 = ₹435
Answer: The total cost is ₹435.
Example 3: Example 3: Profit Calculation
Problem: Rahul buys a cricket bat for ₹800 and sells it for ₹950. Find the profit.
Solution:
Step 1: Profit = SP − CP = 950 − 800 = ₹150
Answer: Rahul makes a profit of ₹150.
Example 4: Example 4: Loss Calculation
Problem: Aditi buys a bag for ₹600 and sells it for ₹520. Find the loss.
Solution:
Step 1: Loss = CP − SP = 600 − 520 = ₹80
Answer: Aditi makes a loss of ₹80.
Example 5: Example 5: Budget Problem
Problem: Dev has a weekly budget of ₹500. He spends ₹120 on Monday, ₹95 on Tuesday, and ₹150 on Wednesday. How much is left for the rest of the week?
Solution:
Step 1: Total spent = 120 + 95 + 150 = ₹365
Step 2: Left = 500 − 365 = ₹135
Answer: Dev has ₹135 left.
Example 6: Example 6: Cost Per Item
Problem: 12 pencils cost ₹60. What is the cost of 1 pencil? What will 8 pencils cost?
Solution:
Step 1: Cost of 1 pencil = 60 ÷ 12 = ₹5
Step 2: Cost of 8 pencils = 8 × 5 = ₹40
Answer: 1 pencil costs ₹5. 8 pencils cost ₹40.
Example 7: Example 7: Discount Calculation
Problem: A shirt has a marked price of ₹750. The shop gives a discount of ₹100. What is the selling price?
Solution:
Step 1: SP = Marked price − Discount = 750 − 100 = ₹650
Answer: The selling price is ₹650.
Example 8: Example 8: Comparing Prices
Problem: Shop A sells 2 kg mangoes for ₹300. Shop B sells 3 kg of the same mangoes for ₹420. Which shop offers a better rate?
Solution:
Step 1: Shop A rate = 300 ÷ 2 = ₹150 per kg
Step 2: Shop B rate = 420 ÷ 3 = ₹140 per kg
Step 3: 140 < 150, so Shop B is cheaper.
Answer: Shop B offers a better rate.
Example 9: Example 9: Saving Problem
Problem: Neha saves ₹25 per day. How much does she save in the month of January (31 days)?
Solution:
Step 1: Savings = 25 × 31 = ₹775
Answer: Neha saves ₹775 in January.
Example 10: Example 10: Bill Calculation
Problem: Meera’s lunch bill: 2 idlis at ₹15 each, 1 dosa at ₹40, and 1 coffee at ₹25. Find the total bill.
Solution:
Step 1: Idlis = 2 × 15 = ₹30
Step 2: Dosa = ₹40
Step 3: Coffee = ₹25
Step 4: Total = 30 + 40 + 25 = ₹95
Answer: The total bill is ₹95.
Key Points to Remember
- ₹1 = 100 paise. Use decimals: ₹45.50 = 45 rupees 50 paise.
- Total cost = quantity × price per unit.
- Change = amount paid − total cost.
- Profit = selling price − cost price (SP > CP).
- Loss = cost price − selling price (CP > SP).
- To compare rates, find the cost per kg (or per unit).
- Always align decimal points when adding or subtracting money amounts.
- Budget = total income − total expenses.
Practice Problems
- Kavi buys 3 notebooks at ₹45 each and 2 erasers at ₹8 each. He pays ₹200. Find the change.
- A shopkeeper buys 10 kg of apples at ₹120 per kg and sells all of them at ₹150 per kg. Find the total profit.
- Arjun has ₹1,000. He buys shoes for ₹650 and socks for ₹85. How much is left?
- A dozen eggs costs ₹72. What is the cost of 1 egg? What is the cost of 8 eggs?
- Ria buys a book for ₹250 and sells it for ₹220. Profit or loss? How much?
- Shop A: 5 pens for ₹75. Shop B: 4 pens for ₹56. Which shop has a lower price per pen?
- Dev saves ₹15 per day. How many days does he need to save to buy a football costing ₹450?
- Meera’s restaurant bill is ₹385.50. She pays ₹400. How much change does she get?
Frequently Asked Questions
Q1. What are money word problems?
Money word problems describe real-life situations involving buying, selling, saving, or spending money. You need to use arithmetic operations to find totals, change, profit, loss, or unit costs.
Q2. What is the difference between profit and loss?
Profit occurs when the selling price is more than the cost price (SP > CP). Loss occurs when the cost price is more than the selling price (CP > SP).
Q3. How do I calculate change?
Subtract the total cost from the amount paid. Change = amount paid − total cost.
Q4. How do I compare prices from two shops?
Find the price per unit (per kg, per piece) at each shop. The shop with the lower price per unit offers the better deal.
Q5. What is a discount?
A discount is a reduction from the original (marked) price. Selling price = marked price − discount.
Q6. How do I handle paise in calculations?
Use decimals. 50 paise = ₹0.50. Always align decimal points when adding or subtracting. ₹1 = 100 paise.
Q7. What is a budget problem?
A budget problem gives you a fixed amount of money and asks you to plan your spending. You subtract expenses from the total budget to find what remains.
Q8. How do I find the cost per item?
Divide the total cost by the number of items. Cost per item = total cost ÷ number of items.
Q9. Is this topic in the NCERT Class 5 syllabus?
Yes. Money word problems involving profit, loss, bills, and budgets are part of the Money chapter in NCERT/CBSE Class 5 Maths.
