A shopkeeper was offering two successive discounts of 20% and 15% on an item whose marked price is ₹1,000, while another shopkeeper was offering a flat 33% discount on the same item. Find the positive difference in the nominal amounts of discounts given by the two shopkeepers on the sale of the item.
Answer & explanation
Correct answer: option 1
A shopkeeper was offering two successive discounts of 20% and 15% on an item whose marked price is 1,000.
Price of an item after the discount = 1000 of (100-20)% of (100-15)% = 1000 × \(\frac{80}{100}\) × \(\frac{85}{100}\) = 680
Discount = 1000 - 680 = 320
Discount offered by another shopkeeper = 1000 of 33% = 330
Positive difference in the nominal amounts of discounts given by the two shopkeepers on the sale of the item = 330 – 320 = 10