Business Mathematics Brief 12th Edition by Stanley Salzman ,Gary Clendenen, Charles Miller

Exercise 84

Find the net cost of the following list prices. Round to the nearest cent. (See Examples.)
Calculating a Single Trade Discount
The list price of a Cuisinart food processor is $298.80, and the trade discount is 25,. Find the net cost.
Quick TIP
The trade discount does not depend on the date.
CASE IN POINT
SOLUTION
First find the trade discount; then subtract the discount from the list price of $298.80.

The net cost of the food processor is $224.10.
Calculating Series Trade Discounts
Bed Bath Beyond is offered a series discount of 20/10 on a Cooking with Calphalon stainless steel cookware set with a list price of $150. Find the net cost after the series discount.
CASE IN POINT
SOLUTION
Apply the first discount in 20/10, which is 20%.

Now apply the second discount in 20/10, which is 10,. Importantly, apply the discount to the amount after the first discount, or $120.

The net cost is $108.
Using Complements to Find the Net Cost

Kitchen Crafters is offered a series discount of 20/10 on a George Foreman Grilling Machine with a list price of $180. Find the net cost after the series discount.
SOLUTION
Apply the preceding steps to find the net cost after the discount.

To find the actual discount, subtract the net cost after discount from the original price.

On many calculators, you can subtract the discount percents from the list price in a series calculation.

Note : Refer to Appendix B for calculator basics.
Using Complements to Solve Series Discounts

The list price of a Heartland 30-inch combination gas and electric stove is $3095. Find the net cost after a series discount of 20/10/10.
SOLUTION
Start by finding the complements with respect to 1 of each discount.

$8.80 less 40/10/20 _________