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1 answer:
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The total purchase price is $ 357.75
<em><u>Solution:</u></em>
Joanna buys a table and 2 chairs
Cost of table = $ 250
Cost of 1 chair = $ 100
Therefore, cost of a table and 2 chairs = 250 + 2(100) = 450
Thus, cost price = $ 450
<em><u>She receives a 25% discount for being a preferred customer</u></em>
Therefore, discount = 25 % of cost price
Thus, amount after discount = cost price - discount
amount after discount = 450 - 112.5 = 337.5
Thus, amount after discount is $ 337.5
<em><u>Then pays 6% sales tax on the discounted purchase price</u></em>
Sales tax = 6 % of 337.5
<em><u>Thus, total purchase price is given as:</u></em>
total purchase price = Amount after discount + sales tax
total purchase price = 337.5 + 20.25 = 357.75
Thus total purchase price is $ 357.75