Question

Fernando has been saving money to buy an e-book reader. A store has just marked down the price of its readers by 40%. Each reader comes in with a mail-in rebate for $25. The original price of the e-book reader was $150.

How much will Fernando save because of the 40% markdown? Show your work.

Answer 1

Fernado saves $90.

Explanation:

40% of $150 ( original price ) = $60

$150 - $60 ( original price - discounted price ) = $90 ( savings )

The question asks about the 40% markdown only, so I'd assume you wouldn't reduce it by $25.

But if you did Fernando would save $115 :

40% of $150 ( original price ) = $60

$60 - $25 ( mail-in rebate ) = $35

$150 - $35 ( original price - discounted price ) = $115 ( savings )