business math

Question

If something starts out costing $500, and then is marked down by 25% on each of three separate occasions , what is the final cost? a) $281.25 b)$250.00 c) $210.94 d)$125.00

Answer 1

If it is marked down 25% then the new price is 75% or 0.75 of the original price. Therefore...

 

500  x 0.75 = 375

375 x 0.75 = 281.25

281.25 x 0.75 = 210.9375

 

$210.94 when rounded to the nearest penny