Question

A manufacturer of skateboards offered a 5/2/1 chain discount to many customers. Bob’s sporting goods ordered 20 skateboards for a total list price of $755. What was the trade discount amount?

Answer 1

total list price : $755

Chain discount 5 /2 /1

Discount1 = 755 x 5% = 755 x (5/100) = $37.75

Net price = 755-37.75 = 717.25

Dicount 2= 717.25 x 2% = $14.345

Net price = 717.25-14.345 = 702.905

Discount 3= 702.905 x 1% = $7.02

Total discount : 37.75+14.345+7.02 = $59.12