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Question

$$ 1< $$ One manufacturer needs to calculate the net price of an order with a list price of $$ \$ 600 $$ and a trade discount series of $$ 40 / 8 / 5 $$. Use the net decimal equivalent to find the net price.

UpStudy AI · Accepted Answer

1. Identify the trade discount percentages:  
   The discount series is $$40\%$$, $$8\%$$, and $$5\%$$.

2. Convert each discount to its corresponding multiplier (i.e., the net factor after each discount):  
   - For $$40\%$$ discount, the multiplier is $$1 - 0.40 = 0.60$$.  
   - For $$8\%$$ discount, the multiplier is $$1 - 0.08 = 0.92$$.  
   - For $$5\%$$ discount, the multiplier is $$1 - 0.05 = 0.95$$.

3. Calculate the net decimal equivalent by multiplying the multipliers:  
   $$
   \text{Net Decimal Equivalent} = 0.60 \times 0.92 \times 0.95
   $$

4. Perform the multiplication step-by-step:  
   - First, multiply $$0.60 \times 0.92$$:
     $$
     0.60 \times 0.92 = 0.552
     $$
   - Next, multiply the result by $$0.95$$:
     $$
     0.552 \times 0.95 = 0.5244
     $$

5. Use the net decimal equivalent to calculate the net price:  
   Given the list price is $$\$600$$, the net price is:
   $$
   \text{Net Price} = 600 \times 0.5244 = 314.64
   $$

The net price of the order is $$\$314.64$$.
The net price of the order is \$314.64.

One manufacturer needs to calculate the net price of an order with a list price of and a trade discount series of . Use the net decimal equivalent to find the net price.

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