Calculate Change

Calculate Change

When you calculate change, you compare the amount paid with the cost of the item. The goal is to find how much money should be returned.

1) Identify the two amounts

• Amount paid: the money given.
• Cost: the price to subtract.

2) Subtract carefully

Compute: change = amount paid - cost

If needed, line up the numbers by place value or work with dollars and cents separately. Keep track of decimal points so the final amount is exact.

3) Simplify the result

Write the change in the simplest form possible. For money, this usually means giving the answer as a decimal amount with two digits after the decimal point when appropriate.

4) Check your work

A quick check is to add the change back to the cost. If the total equals the amount paid, your answer is correct.

Example method

If the amount paid is larger than the cost, subtract the cost from it. If the result is zero, no change is owed.

Common mistakes

• Subtracting in the wrong order
• Forgetting cents or decimal places
• Not simplifying the final money amount