A craft shop buys stuffed animals with a list price of $8,000. If the wholesaler offers trade discounts of 25/25/25, find the net price factor.

Name: A craft shop buys stuffed animals with a list price of $8,000. If the wholesaler offers trade discounts of 25/25/25, find the net price factor.
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Question

Quizplus · Accepted Answer

The net price factor is calculated by multiplying the complements of the trade discounts: (1 - 0.25) * (1 - 0.25) * (1 - 0.25) = 0.75 * 0.75 * 0.75 = 0.421875, which rounds to 0.42188.

A Craft Shop Buys Stuffed Animals with a List Price