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In addition to the regular trade discount of 25% and a volume purchase discount of 813%813% from the manufacturer, Appliance Warehouse is offered a further 5% discount for orders placed in January. (Use five decimal places for repeating decimals.)a. What is the net price after all three trade discounts on refrigerators listed at $1,195? (Round your answer to the nearest cent.)

Question

In addition to the regular trade discount of 25% and a volume purchase discount of 813%813% from the manufacturer, Appliance Warehouse is offered a further 5% discount for orders placed in January. (Use five decimal places for repeating decimals.)a. What is the net price after all three trade discounts on refrigerators listed at $1,195? (Round your answer to the nearest cent.)

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Solution

The question seems to have a typo in the volume purchase discount. It's mentioned as 813%, which is not possible. Assuming it's 13%, let's calculate the net price after all three trade discounts.

  1. First, apply the regular trade discount of 25% on the list price of $1,195.

    Discounted price = 1,195(25/1001,195 - (25/100 * 1,195) = $896.25

  2. Next, apply the volume purchase discount of 13% on the discounted price.

    Further discounted price = 896.25(13/100896.25 - (13/100 * 896.25) = $779.7375

  3. Finally, apply the 5% discount for orders placed in January on the further discounted price.

    Final price = 779.7375(5/100779.7375 - (5/100 * 779.7375) = $740.750625

So, the net price after all three trade discounts on refrigerators listed at 1,195isapproximately1,195 is approximately 740.75 (rounded to the nearest cent).

This problem has been solved

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