Which of the following discount scheme is better?

Which of the following discount scheme is better?

Discount 1 – 10 %, 20 %, 15 %, 
Discount 2 – 20 %, 15 %, 10 %

a. Discount 1 is better
b. Discount 2 is better
c. Both of them are equal
d. Both of them are unequal
e. None of the above

Brong Asked on December 2, 2017 in GMAT.
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1 Answer(s)

    Thanks you very much for your questions, Your questions is

    If,
    Discount 1 – 10 %, 20 %, 15 %,
    Discount 2 – 20 %, 15 %, 10 %

    Then

    Which of the following discount scheme is better?

    a. Discount 1 is better
    b. Discount 2 is better
    c. Both of them are equal
    d. Both of them are unequal
    e. None of the above

    Solution:

    Probably your Correct answer: c

    Actually, this questions is also difficult for me. Moreover, I have tried to answer here. If you find any kind of mistake here, please let me know by comment.

    Explanation:

    Let the total amount be equal to 100.
    Now, according to the first discount scheme,
    After the first discount of 10 %, the amount = 90 ………i
    ∴ Discount = 10

    After the second discount of 20 %, the amount = (20 * 90) / 100 = 72 ……..ii
    ∴ Discount = 18

    And, after the third discount of 15 %, the amount = (15 * 72) / 100 = 61.2 ……iii
    ∴ Discount = 10.8

    Hence, the total discount = 10 + 18 + 10.8 = 38.8 ………..iv

    Now, according to the second discount scheme,
    After the first discount of 20 %, the amount = 80 ………i
    ∴ Discount = 20

    After the second discount of 15 %, the amount = (15 * 80) / 100 = 68 ……..ii
    ∴ Discount = 12

    And, after the third discount of 10 %, the amount = (10 * 68) / 100 = 61.2 ……iii
    ∴ Discount = 6.8

    Hence, the total discount = 20 + 12 + 6.8 = 38.8 ………..iv

    ∴ Both the discount schemes result in the same saving. Hence, both the discount
    schemes are equal.

    Hence, the correct answer is option c.

    If you have more question on GMAT, Ask me here. Thanks

    Brong Answered on December 2, 2017.
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