Question

A used car dealership initially prices a car at $12,000. When the car fails to sell, the dealership reduces the prices to $10,500. During a holiday sale, the dealership drops the price of the car an additional 5 percent below the reduced price. To the nearest tenth of a percent, what is the total percent discount from the car's initial price to the holiday sale price?

Answer 1

16.9% to the nearest tenth of a percent

Explanation:

First, find the FINAL sale price (after the additional holiday 5% reduction).

If we wish to reduce $10,500 by 5%, that means the final price is 95% of the before price.

95% = 95/100 = 0.95

So 95% of $10,500 = 0.95 x 10500 = $9,975

To find the total percent discount, we use the percent change formula:

percent change = (difference between the values ÷ original amount) x 100

= ((12000 - 9975) ÷ 12000) x 100

= 16.875%

So the total percent discount from the car's initial price to the hoiday sale price is 16.9% to the nearest tenth of a percent.