Question

1. I want to purchase a $240 stationary bike at the local warehouse store. The stationary bike is on
sale for 25% off. I found a coupon in the newspaper for an additional 10% off any item in the
store. Since I am a member of the warehouse, I also get a 5% discount during my birthday month.
In which order should I have the checkout clerk apply these discounts? Explain.

Answer 1

Answer:

The discounted rate after applying 3 discount rates at the bike is $153.9.

Step-by-step explanation:

The marked price of the stationery bike  =  $240

Now, sale discount on bike  =  25% off.

Calculating the sales discount:

25% of 240  = $\frac{25}{100}  \times 240   = 60$

So, the discount offered is $60.

So, the Discounted Price = Actual Price - Discount

                                          =  $240 - $60  = $180

Now, 10 % additional off is availed on the discounted price of $180.

So, 10% of 180  = $\frac{10}{100}  \times 180   = 18$

⇒ The discount offered is $18.

So, the second Discounted Price  = $180 - $18 = $162

Again, on the discounted price, an additional 5 % off is applied.

So, 5% of 162  = $\frac{5}{100}  \times 162   = 8.1$

⇒ The discount offered is $8.1.

So, the Third Discounted Price  = $162 - $8.1 = $153.9

⇒ The final Cost price of the stationary bike is $153.9

Hence the discounted rate after applying 3 rates at the bike is $153.9.