Question : Applied to a bill for Rs. 10000 the difference between a discount of 20% and two successive discounts of 16% and 4% is:
Option 1: Rs. 19.36
Option 2: Rs. 64
Option 3: Rs. 72
Option 4: Rs. 22.32
Correct Answer: Rs. 64
Solution :
A single discount of 20% would reduce the bill = 10000 – 0.20 × 10000 = Rs. 8000
Two successive discounts of 16% and 4% would reduce the bill,
= 10000 – 0.16 × 10000 = Rs. 8400 (after the first discount)
= 8400 – 0.04 × 8400 = Rs. 8064 (after the second discount)
The difference between the two scenarios = 8064 – 8000 = Rs. 64
Hence, the correct answer is Rs. 64.
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