Problema Solution

All-Ways Green Gardens buys plants with a list price of $15,000. If the supplier extends trade discounts of 20/15/1, what is the trade discount amount?

Answer provided by our tutors

List price = $15,000


Discount: 100 - 20 = 80%, 100 - 15 = 85% and 100 - 1 = 99%


Price after trade discount is: 15,000*0.80*0.85*0.99 = $10,098


Trade discount = $15,000 - $10,098 =$4,902