Answer:
$7.04.
Explanation:
The price after two reductions means that we have to multiply the initial price by 25% twice. Remember that 25% is equal to 0.25, because the percentage sign refers to a division by 100. So, the operation would be:
First reduction.

Second reduction:

Therefore, the final price after two reductions is $7.04.
PD: It's important to calculate each reduction separately, because the most common mistake is to do it in one go and miss a subtract process.