An article marked at ₹1,250 is sold at two successive discounts such that the selling price becomes ₹900. If the first discount is 20%, what is the second discount?
- AOption (a)
15%
- BOption (b)
12%
- COption (c)
10%
- DOption (d)
8%
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Correct answer
10%
Why this answer is correct
Shortcut Trick
Price after 20% discount = 1250 − 250 = ₹1,000
Final Selling Price = ₹900
Amount of second discount = 1000 − 900 = ₹100
Second Discount percentage = (100 ÷ 1000) × 100 = 10%
∴ The correct answer is 10%.
Alternate Method
Given: Marked Price (MP) = ₹1,250, First Discount (D1) = 20%, Final Selling Price (SP) = ₹900
Formula: Selling Price = MP × (100 − D1)% × (100 − D2)%
⇒ Price after first discount = 1250 × (100 − 20) ÷ 100
⇒ Price after first discount = 1250 × 0.8 = ₹1,000
⇒ Now, the second discount is applied on ₹1,000 to get ₹900
⇒ Second Discount amount = 1000 − 900 = ₹100
⇒ Second Discount % = (Discount Amount ÷ Previous Price) × 100
⇒ Second Discount % = (100 ÷ 1000) × 100 = 10%
∴ The correct answer is 10%.
Additional Information
Successive Discounts Formula
When two discounts 'a%' and 'b%' are given successively, the equivalent single discount is given by: [a + b − (a × b ÷ 100)]%.
Marked Price (MP) and Discount
Discount is always calculated on the Marked Price. The price obtained after subtracting the discount from the MP is the Selling Price (SP).
Relationship between SP and MP
SP = MP × [(100 − D1) ÷ 100] × [(100 − D2) ÷ 100] × ... × [(100 − Dn) ÷ 100].