Question : In a shop, a discount of 5% is provided, and if the total payable amount after the discount is more than INR 2,000, then an additional discount of 10% is provided. Determine the final amount to be paid (in INR) by a customer, if he buys five products each of price INR 500.
Option 1: INR 2,500
Option 2: INR 2,225.50
Option 3: INR 2,375.50
Option 4: INR 2,137.50
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Correct Answer: INR 2,137.50
Solution : The cost of one product is INR 500. The customer buys five products. ⇒ The total cost without any discount = 5 × 500 = INR 2500 Now, apply the first discount of 5% ⇒ Discounted amount= (100% – 5%) × 2500 = 0.95 × 2500 = INR 2375 Here, if the discounted amount is more than INR 2000, apply the additional discount of 10%. $\therefore$ The final amount = 0.9 × 2375 = INR 2137.50 Hence, the correct answer is INR 2137.50.
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