If an article is sold at successive discounts of 10%, 25% and 15%, then how much a customer has to pay for it if the marked price of the article is ₹400?
Answer & explanation
Correct answer: option 3
The correct answer is Option (3) → ₹229.50
In successive discounts, each discount is taken on the price left after the previous one, so the marked price is multiplied by (100 − discount)% for each discount in turn:
After the 10% discount: \(400\times\frac{90}{100}=360\)
After the 25% discount: \(360\times\frac{75}{100}=270\)
After the 15% discount: \(270\times\frac{85}{100}=229.50\)
Tip: Successive discounts are never added up. Adding 10% + 25% + 15% = 50% would give ₹200, which is less than the real price, because each later discount works on a smaller amount.