Problema Solution

Calculate the following net price factor and net price.

For convenience, round net price factors to five decimal places when necessary. Round the net price to the nearest cent.

List Price Trade Discount Rate Net Price Factor Net Price

$425.80 18/15/5

Answer provided by our tutors

List Price = $425.80


Net Price Factor = 100% - discount %


Net Price Factor = (1 - 0.18)(1 - 0.15)(1 - 0.05) = 0.82*0.85*0.95 = 0.66215 or 66.215%


Net Price = Net Price Factor * List Price


Net Price = 0.66215 * $425.80


Net Price = $281.94