Lesson: Intermediate Problem Solving - 20t01

Practice: Unlikely Answer Choices

[Page 20 of 27]
Use your knowledge of unlikely or trap answers to identify the culprit choices in the following question, then select the correct answer and then click Continue.

The price of a certain stereo is discounted by 10 percent, and the reduced price is then discounted by 25 percent. This series of successive discounts is equivalent to a single discount of
28.00%
31.50%
32.50%
34.00%
35.00%

Choice (E), 35.00%, is equal to the sum of the two discount percents. However, this problem (and many Problem Solving percent questions) involves a successive percent change. This means we must find the price of the stereo after the first discount, and then apply the second discount to the new price. We cannot simply add the individual percents. Choice (E) is a trap answer.

Choice (C) is correct. Picking 100 as the original price of the stereo, we find:

Price after first discount: $100 × 0.10 = $10; $100 – $10 = $90

Price after second discount: $90 × 0.25 = $22.50; $90 – $22.50 = $67.50

Total discount: $100 – $67.50 = $32.50; $32.50 is 32.50% of $100.

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