Question

A shop is having a sale all items are reduced by 20%

work out the sale price of an item normally priced at 120pounds

Answer 1

£96

Explanation:

Let new price be
`N_p`

Sale price reduction rate=20%

Initial Item price=120

The new price will be reduced by a margin of 20%. Therefore the new price is obtained by multiplying old price by (100-20)%.

`I_p=120\\r=20\%\\N_p=I_p(1-r)\\N_p=120(1-0.20)\\N_p=96`

Answer 2

The sale price of the item is 96 pounds.

Explanation:

If all the items are reduced by 20%, this means now their price is 100% - 20% = 80% of the original price.

Therefore, if an item was originally priced at 120pounds, its price now will of 80% of 120 pounds, i.e.

`\text{Sale price} =(80\%)/(100\%)*120 \pounds`

`\text{Sale price}=0.8*120 \pounds`

`\boxed{ \text{Sale price} =96 \pounds}`

The sale price of the item is 96 pounds.