Patrick's Paint Supplies purchased $7,600 worth of easels, canvas, and pallets from their supplier to sell in their store. The invoice for the order showed a trade discount of 45%.
The Net Price Factor for this order would be 45%.

Question

Patrick's Paint Supplies purchased $7,600 worth of easels, canvas, and pallets from their supplier to sell in their store. The invoice for the order showed a trade discount of 45%.
​The Net Price Factor for this order would be 45%.

Quizplus · Accepted Answer

The Net Price Factor is actually 55% because it represents the percentage of the original price that is paid after the discount is applied, which is 100% - 45% = 55%.

Patrick's Paint Supplies Purchased $7,600 Worth of Easels, Canvas, and Pallets