Question

Skis are listed by a manufacturer for $850, less trade discounts of 35% and 18%. What further rate of discount should be given to bring the net price to $446?

Answer 1

The Solution:

The listing price of the Skis by a manufacturer is $850.

A trade discount of 35% was allowed.

`\begin{gathered} 35\text{ \% of \$850=0.35}*850=\text{ \$297.50} \\ \text{Price}=850-297.50=\text{ \$552.50} \end{gathered}`

Allowing an extra discount of 18%, we get

`\begin{gathered} 18\text{ \% of \$}552.50=0.18*552.50=\text{ \$99.45} \\ \text{Price}=552.50-99.45=\text{ \$453.05} \end{gathered}`

We are required to find what further rate of discount should be given to bring the net price to $446.00

`\begin{gathered} 453.05-446.00=7.05 \\ To\text{ find the required percentage of discount, we have} \\ (7.05)/(453.05)*100=0.0155612*100=1.55612\approx1.56\text{\%} \end{gathered}`

Therefore, the correct answer is 1.56%