1. **Stating the problem:** Calculate 20% of 500. 2. **Formula used:** To find a percentage of a number, use the formula: $$\text{Percentage value} = \frac{\text{Percentage}}{100} \times \text{Total value}$$ 3. **Applying the formula:** $$20\% \times 500 = \frac{20}{100} \times 500$$ 4. **Simplify the fraction:** $$= \cancel{\frac{20}{100}} \times 500 = \frac{1}{5} \times 500$$ 5. **Multiply:** $$= \frac{1}{5} \times 500 = 100$$ 6. **Answer:** 20% of 500 is 100.