A retailer offers the following discount schemes for an article to his customers.
A. Two equal successive discounts of 15% .
B. Two successive discounts of 12% and 18%.
C. Buy 7 articles and get 3 free.
Which scheme is favourable to a customer? (assuming buys articles in a multiple of 10)
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Only C
Formula USed:
Explanation:
Let the marked price if the article be 100x.
Now
A. = 72.25x
B. = 72.16x
C. Buy 7 get 3 free, discount = 30%
Now = 70x
So the most favourable scheme to customer is scheme C
Hence the correct answer is only C.