A shopkeeper wanted to sell ₹3,000 worth of products. He gave two options — giving three successive discounts of 10% each, or giving a single discount of 30%. If a buyer chooses the former option how much extra/less does he pay as compared to the second option?
Answer & explanation
Correct answer: option 3
Marked price of the product = 3,000
Three successive discounts of = 10% are given
SP = 3000 × \(\frac{9}{10}\) × \(\frac{9}{10}\) × \(\frac{9}{10}\) = 2187
SP at single discount of 30% = 70% of 3000 = 2100
So he has to pay 2187 - 2100 = 87 extra.