Decimal and Money
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Basics on the topic Decimal and Money
Decimals and Money – Introduction
Have you ever looked at a receipt? When you look at the monetary amounts, you will often see something like £3.52. This means that the price is between 3 pounds and 4 pounds. With decimal numbers like 3.52 you can indicate amounts between whole numbers. Did you know a decimal number is often represented as money? This is explained in our money lesson decimal point video about decimal money. After the video, you can also find decimal and money worksheets and exercises to practise decimal money word problems and more.
Decimals and Money – Place Value Chart
If you are not quite sure about money and decimals yet, have a look at the place value chart below. It can help you understand money in decimal form.
In this place value chart you can see an amount of money with decimal places. The hundreds place represents one hundred pounds, the tens place represents ten pounds and the ones place represents one pound. The decimal point separates pounds and pence. The tenths place represents ten pence and the hundredths place represents one penny.
Money Decimal System – Example and Practice
In this place value chart, showing a decimal number as money, there are no hundreds. Therefore, we start with the tens place value. There are sixty pounds in the tens place and three pounds in the ones place. For the pence, there are forty pence in the tenths place and two pence in the hundredths place. This means there is sixty-three pounds and forty-two pence in total, which is the same as sixty pounds plus three pounds, plus forty pence plus two pence.
| T | O | . | T | H |
|---|---|---|---|---|
| 6 | 3 | . | 4 | 2 |
Decimals and Money – Summary
If you want to practise money with decimal places on your own, check out our interactive exercises and worksheets on decimals and money.
Transcript Decimal and Money
Zuri and Freddie have just been paid for the first time. They need to pay their money into the bank. Upon closer inspection of their pay slips they realise they don't know how much money they made because they do not understand the value of each digit. Let's help Zuri and Freddie learn all about place value, decimals and money. Pounds and pence are separated by a decimal. A place value chart can help us to understand the relationship between decimals and money! The hundreds place represents one hundred pounds. The tens place represents ten pounds. The ones place represents one pound. The decimal point separates the pounds from the pence. We sometimes say and to represent the decimal point when talking about money. The tenths place can be thought of as one pound divided into ten parts, and each part is equal to ten pence. The hundredths place can be thought of as one pound divided into one hundred parts, and each part is equal to one pence. Let's look at an example. Freddie's pay slip says sixty-three pounds and forty-two pence. There are no hundreds so start with the tens place value. The tens place value has a six which represents six ten pound notes or sixty pounds. The ones place value has a three which represents three one pound coins or three pounds. Now let's look at the decimal place values where pence represent parts of a whole pound. The tenths place value has a four which represents four ten pence coins or forty pence. The hundredths place value has a two which represents two one pence coins or two pence! Sixty-three pounds and forty-two pence is the same as sixty pounds plus three pounds plus forty pence plus two pence! Now that we have looked at place value, decimals and money, let's help Zuri with her pay slip! Her pay slip has one hundred and forty-two pounds and thirty-five pence written on it. What is the value of the hundreds place? There is a one, which represents one hundred pounds. What is the value of the tens place? There is a four, which represents forty pounds. What is the value of the ones place? There is a two, which represents two pounds. What is the value of the tenths place? There is a three, which shows thirty pence. What is the value of the hundredths place? There is a five, which represents five pence. Since five pennies is equal to one five pence coin, we could also use a five p coin here too. One hundred and forty-two pounds and thirty-five pence is the same as one hundred pounds plus forty pounds plus two pounds plus thirty pence plus five pence! Whilst Freddie and Zuri pay in their money, let's review. Remember, a decimal separates pounds from pence. The hundreds place represents one hundred pounds. The tens place represents ten pounds. The ones place represents one pound. The tenths place represents ten pence. The hundredths place represents one pence. "What should we do with our money?" "Shall we get ice cream?" "Yes a thousand times!" "Freddie, isn't that the ice cream truck that we work at..."
Decimal and Money exercise
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Freddie's payslip.
HintsUse a place value chart to help you.
In Freddie's payslip, the tens are the largest amount.
For example, if we were highlighting £31.86, we would highlight each value in these colours.
SolutionFreddie earned £72.64.
- The 7 is in the tens place and represents £70.
- The 2 is in the ones place and represents £2.
- The 6 is in the tenths place and represents 60 p.
- The 4 is in the hundredths place and represents 4 p.
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How much money has Zuri been paid?
HintsOn the payslip we can see Zuri's pay in digits and words.
- Digits: £162.57
- Words: One hundred and sixty-two pounds and 57 p only.
One hundred = £100. Where does this fit in the place value chart?
Look at the payslip. The first digit represents the greatest amount.
On the place value chart, the hundreds are the greatest amount.
SolutionZuri earned £162.57.
£162.57 has
- 1 hundred or £100
- 6 tens or £60
- 2 ones or £2
- 5 tenths or 50 p
- 7 hundredths or 7 p
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What is the value of each digit?
HintsHere we can see £118.76 in a place value chart. Use this to help you.
As an example, the 5 in £115.32 is in the ones place and is worth £5.
SolutionIn £118.76:
- There is a 1 in the hundreds place which is worth £100.
- There is a 1 in the tens place which is worth £10.
- There is an 8 in the ones place which is worth £8.
- There is a 7 in the tenths place which is worth 70 p.
- There is a 6 in the hundredths place which is worth 6 p.
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Can you find the matching pairs?
HintsPut the total into a place value chart to work out what each digit is worth.
For example, here we can see £127.85 in the place value chart. There is a 1 in the hundreds column. That would mean that the matching addition sentence would start with £100 + ...
Using the place value chart in the hint above, £127.85 = £100 + £20 + £7 + 80 p + 5 p.
Solution£83.41 = £80 + £3 + 40 p + 1 p
- There is an 8 in the tens place which equals £80.
- There is a 3 in the ones place which equals £3.
- There is a 4 in the tenths place which equals 40 p.
- There is a 1 in the hundredths place which equals 1 p.
£89.92 = £80 + £9 + 90 p + 2 p
- There is an 8 in the tens place which equals £80.
- There is a 9 in the ones place which equals £9.
- There is a 9 in the tenths place which equals 90 p.
- There is a 2 in the hundredths place which equals 2 p.
£105.64 = £100 + £5 + 60 p + 4 p
- There is a 1 in the hundreds place which equals £100.
- There is a 0 in the tens place which equals £0, so we don't have a value for this in the addition sentence.
- There is a 5 in the ones place which equals £5.
- There is a 6 in the tenths place which equals 60 p.
- There is a 4 in the hundredths place which equals 4 p.
£137.04 = £100 + £30 + £7 + 4 p
- There is a 1 in the hundreds place which equals £100.
- There is a 3 in the tens place which equals £30.
- There is a 7 in the ones place which equals £7.
- There is a 0 in the tenths place which equals 0 p so we don't have a value for this in the addition sentence.
- There is a 4 in the hundredths place which equals 4 p.
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Which item costs the most?
HintsUse a place value chart like this. Can you put the amounts into it and then compare them?
There are three amounts that have hundreds and one that doesn't. The one that doesn't cannot be the greatest amount.
Compare the tens place of the amounts left.
SolutionThe greatest value is £152.21.
£143.71 and £121.21 also have a value in the hundreds place but if we compare the tens place, 5 is the greatest, therefore £152.21 is the greatest amount.
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Can you order the values?
HintsCreate your own place value table like this one and add the values to it to help you. For some values, you will also need a hundreds column first.
Start comparing in the greatest place value and work towards the smallest place value.
Any values that don't have a digit in the hundreds place will be smaller than values that do have a digit in the hundreds place.
For example, when we compare £112.45 and £102.13, we start comparing the largest place value, the hundreds. Here they are both 1 so we move on to the tens. There is a 1 in the first number and a 0 in the second number, so we know that the first number is bigger, as 1 is greater than 0.
SolutionFrom smallest amount to greatest amount, the values are:
- £76.43
- £76.49
- £102.13
- £112.45
- £121.89
- £122.60
