Find the net cost equivalent and the percent form of the single discount equivalent for the following series discount.
-
A)0.27325; 72.675%
B)0.72675; 27.325%
C)0.3; 75%
D)0.75; 30%

Question

Find the net cost equivalent and the percent form of the single discount equivalent for the following series discount.
-
A)0.27325; 72.675% 
B)0.72675; 27.325% 
C)0.3; 75% 
D)0.75; 30%

Quizplus · Accepted Answer

To find the net cost equivalent, we need to multiply the discounts and subtract that product from 1 (the original price):
Net Cost Equivalent = 1 - 0.15*0.35*0.25*0.1 = 0.72675
To find the single discount equivalent, we can use the equivalent formula:
1 - Single Discount Equivalent = (1 - 0.15)(1 - 0.35)(1 - 0.25)(1 - 0.1)
1 - Single Discount Equivalent = 0.5679375
Single Discount Equivalent = 1 - 0.5679375 = 0.4320625
Single Discount Equivalent as a percentage = 43.20625%
Therefore, the best choice is B, which matches the calculated net cost equivalent and single discount equivalent percentages. To find the single discount equivalent, we need to find the equivalent discount for the entire series of discounts. We can use the formula:

Single discount equivalent = 1 - (1-d1)(1-d2)...(1-dn)

where d1, d2, ..., dn are the individual discounts.

Plugging in the given values, we get:

Single discount equivalent = 1 - (1-0.1)(1-0.2)(1-0.25)
= 0.72675

To find the net cost equivalent, we need to subtract the single discount equivalent from 1:

Net cost equivalent = 1 - single discount equivalent
= 1 - 0.72675
= 0.27325

Finally, to find the percentage form of the single discount equivalent, we multiply it by 100:

Percent form of single discount equivalent = single discount equivalent x 100
= 0.72675 x 100
= 72.675%

Therefore, the best choice is B.

Find the Net Cost Equivalent and the Percent Form of the Single