A merchant gives a series of 3 successive discounts of 5%, 10%, and 20% on an item priced at ₹ 1,500. What is the final price after the discounts?
Show answer & explanation
Correct answer: C
Explanation
Given:
Marked price of the item = ₹1500
Successive discounts = 5%, 10%, 20%
Formula:
Price after successive discounts = P × (1 − d₁/100) × (1 − d₂/100) × (1 − d₃/100)
= 1500 × (1 − 5/100) × (1 − 10/100) × (1 − 20/100)
= 1500 × 0.95 × 0.90 × 0.80
= 1500 × 0.855 × 0.80
= 1500 × 0.684
= ₹1026