A car dealership's list price on cars is 18% above cost. Recently a demo was sold for $21,000, which is 15% off the list price. Determine the cost of the demo vehicle.
A) $21,500
B) $20,937
C) $20,500
D) $19,750
E) $17,750

Question

Quizplus · Accepted Answer

The list price is 18% above cost, so the cost is 100/(100+18) = 5/6 of the list price. The demo was sold for 15% off the list price, so the cost of the demo vehicle is 5/6 * 0.85 * $21,000 = $20,937.

A Car Dealership's List Price on Cars Is 18% Above