Question

In: Statistics and Probability

A dress is marked down 15%, and then it is marked down 25% from the discounted...

A dress is marked down 15%, and then it is marked down 25% from the discounted price. By what percent is the dress marked down from the original price after both discounts? Show all work. Why is the discount not equal to 40% off of the original price?

Solutions

Expert Solution

(a)

Let

the Original Price = x

First Discount = 15%

So,
First Discount Amount = x * 15/100 = 0.15 x

So,

Price of the dress after First Discount = x - 0.15 x = 0.85 x

Second Discount = 25%

So,

Second Discount Amount = (0.85 x) * 0.25/100 = (0.85 X 0.25) x = 0.2125 x

So,

Price of the dress after both discounts = 0.85x - 0.2125 x

                                                      = (0.85 - 0.2125) x

                                                        = 0.6375x

Thus,

Original Price = x

Amount marked down from the original price after both discounts = x - 0.6375 x = 0.3625 x

So,

Percentage of reduction = 0.3625 X 100 = 36.25 %

Thus, Answer is:

The dress is marked down from the original price after both discounts by 36.25%

(b)

The discount is not equal to 40% off of the original price because even though the First Discount of 15% is from Original Price, the Second Discount of 25% is not from the Original Price but from the actually reduced price after First Discount.


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