Question

Terry goes to the store to buy a shirt. The original price is $32. The shirt is

marked down 20%. When he gets to the check-out stand, he learns that
everything in the store is another 10% off of the marked down price. Which
dollar amount below is closest to the amount Terry paid for the shirt?

Answer 1

The closest amount paid is $23

Explanation:

Given

`Price = \$32`

`Mark\ down = 20\%`

Amount = 10% of Marked down price

Required

Determine the amount paid

First, we calculate the marked down price P2:

`P_2 = Price(1 - Mark\ down)`

Substitute values for Price and Mark down

`P_2 = \$32 * (1 - 20\%)`

Express percentage as decimal

`P_2 = \$32 * (1 - 0.20)`

`P_2 = \$32 * (0.80)`

Remove bracket

`P_2 = \$32 * 0.80`

`P_2 = \$25.6`

The payable amount is 10% off the marked down price,

This is calculated as:

`Amount = P_2 - P_2 * 10\%`

Substitute $25.6 for P2

`Amount = \$25.6 - \$25.6* 10\%`

Express percentage as decimal

`Amount = \$25.6 - \$25.6* 0.10`

`Amount = \$25.6 - \$2.56`

`Amount = \$23.04`

The closest amount paid is $23