Discussion
Sonali could not decide between discount of 30% or two successive discounts of 25% and 5%, both given on shopping of Rs. 2000. What is the difference between both the discounts?
Answer: B
Single 30% discount:
\[ 2000 \times 0.30 = \text{Rs. } 600 \]
Successive 25% and 5%:
\[ 2000 \times 0.75 \times 0.95 = 2000 \times 0.7125 = \text{Rs. } 1425 \]
\[ \text{discount} = 2000 - 1425 = \text{Rs. } 575 \]
\[ \text{difference} = 600 - 575 = \text{Rs. } 25 \]
The single discount is the better one. The shortfall equals \( 2000 \times 0.25 \times 0.05 = 25 \) - the product of the two rates, which is exactly what successive discounting loses.
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