Question

Use the net price rate to calculate the net price for 10 boxes of computer paper if the unit price is $13.59 and a single trade discount rate of 20% is allowed

Answer 1

$14.06, we can find the total cost by multiplying that by 30, to giveus $421.80 if there were no discount. We can find the discount price in two equivalent ways, either by finding 30% of 421.80 and subtracting that,or by finding 100% - 30% = 70%. That is, the new price will be 70% of the old price. Since they wantthe new price, and not the discounted amount, it is simpler to use 70% 70% = 70/100 or 0.7. 0.7 x 421.80 = $295.26