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Question 110 (iii)

A store is having a 25% discount sale. Sheela has a Rs.50 gift voucher and wants to use it to buy a board game marked for Rs.320. She is not sure how to calculate the concession she will get. The sales clerk has suggested two ways to calculate the amount payable. Method 1 Subtract Rs.50 from the price and take 25% off the resulting price. Method 2 Take 25% off the original price and then subtract Rs.50.
Which method do you think stores actually use? Why?


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Solution

Method 1 will be used by stores because in this method actual discount is loss.


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