An article is marked at ₹3,000. The shopkeeper offers successive discounts of 10% and 20%. What is the final selling price of the article?
- AOption (a)
₹2,250
- BOption (b)
₹2,100
- COption (c)
₹2,200
- DOption (d)
₹2,160
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Correct answer
₹2,160
Why this answer is correct
Shortcut Trick
Net Discount % = a + b − (ab/100) = 10 + 20 − (10 × 20)/100 = 28%
Selling Price = (100% − 28%) of Marked Price
SP = 72% of ₹3,000 = 0.72 × 3,000 = ₹2,160
∴ The correct answer is ₹2,160.
Alternate Method
Given: Marked Price (MP) = ₹3,000; First Discount = 10%; Second Discount = 20%.
Formula: Final SP = MP × (100 − d1)/100 × (100 − d2)/100
⇒ Price after 10% discount = 3,000 − (10% of 3,000) = 3,000 − 300 = ₹2,700
⇒ Price after 20% discount = 2,700 − (20% of 2,700) = 2,700 − 540 = ₹2,160
⇒ The final Selling Price is ₹2,160, which matches Option (4).
∴ The correct answer is ₹2,160.
Additional Information
Successive Discount Rule
When two successive discounts d1% and d2% are given, the equivalent single discount is (d1 + d2 − d1d2/100)%.
Selling Price vs Marked Price
Selling Price (SP) = Marked Price (MP) − Discount. If multiple discounts are applied, they are calculated on the diminishing balance.
Profit and Loss Relation
If CP is the cost price, then SP = CP + Profit or SP = CP − Loss. The markup is always calculated on the CP.