The marked price of a chair is Rs. 500. It is sold at two successive discounts of 10% each. What is its…
When two successive discounts of 10% each are applied to a marked price of Rs. 500: after the first 10% discount, the price becomes Rs. 500 − (10% of 500) = Rs. 500 − Rs. 50…
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The marked price of a chair is Rs. 500. It is sold at two successive discounts of 10% each. What is its selling price?
Answer and explanation
Correct answer D
When two successive discounts of 10% each are applied to a marked price of Rs. 500: after the first 10% discount, the price becomes Rs. 500 − (10% of 500) = Rs. 500 − Rs. 50 = Rs. 450. The second 10% discount is calculated on Rs. 450, which equals 10% of 450 = Rs. 45. Thus, the final selling price is Rs. 450 − Rs. 45 = Rs. 405/- (equivalently, an effective single discount of 10 + 10 − (10 × 10)/100 = 19%, so 500 × 0.81 = Rs. 405/-).
Option feedback
Option A
Incorrect. Rs. 400/- results from subtracting a flat 20% discount (Rs. 100) from Rs. 500, ignoring that the second 10% discount applies to the reduced price of Rs. 450.
Option B
Incorrect. Rs. 415/- corresponds to a 17% total discount rather than the 19% effective discount of two successive 10% reductions.
Option C
Incorrect. Rs. 425/- corresponds to a 15% total discount on Rs. 500 rather than two successive 10% discounts.
Option D
Correct. After the first 10% discount on Rs. 500, the intermediate price is Rs. 500 × 0.90 = Rs. 450. Applying the second 10% discount gives Rs. 450 × 0.90 = Rs. 405/-.
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