The marked price of an item ₹ 25,000. Under a scheme, successive discounts of 10% and 8% are given on it. Find the total discount given while selling the item under the given scheme.

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  1. ₹ 4,300
  2. ₹ 4,500
  3. ₹ 4,400
  4. ₹ 4,600

Answer (Detailed Solution Below)

Option 1 : ₹ 4,300
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Detailed Solution

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Given:

Marked price of the item = ₹ 25,000

Successive discounts = 10% and 8%

Formula Used:

Total Discount = Marked Price - Selling Price

Selling Price after successive discounts = Marked Price × (1 - Discount1) × (1 - Discount2)

Calculation:

Selling Price = ₹ 25,000 × (1 - 0.10) × (1 - 0.08)

⇒ Selling Price = ₹ 25,000 × 0.90 × 0.92

⇒ Selling Price = ₹ 25,000 × 0.828

⇒ Selling Price = ₹ 20,700

Total Discount = Marked Price - Selling Price

⇒ Total Discount = ₹ 25,000 - ₹ 20,700

⇒ Total Discount = ₹ 4,300

The correct answer is option 1.

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