Question : Two successive price decreases of 20% and 30% of an article are equivalent to a single price decrease of:
Option 1: 50%
Option 2: 44%
Option 3: 25%
Option 4: 40%
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Correct Answer: 44%
Solution : Single equivalent discount = $(a+b–\frac{a×b}{100}$)%, where $a$% and $b$% are successive discounts. ⇒ Single equivalent discount = $20+30-\frac{20×30}{100}=50-6=44$% Hence, the correct answer is 44%.
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