A person buys an item from a shop for which the shopkeeper offers a discount
A person buys an item from a shop for which the shopkeeper offers a discount of 10% on the marked price. The person pays using an e-wallet which gives 10% cash back. Which one of the following is the value of effective discount?
- 20%
- 18%
- 19%
- 21%
- Answer: The correct option is C
- Explanation:
The effective discount is the cumulative effect of the two discounts.
Consider the price of an item be ₹100.
Price after 10% discount = ₹90.
Price after 10% cash back = ₹81.
Effective discount = ₹100 - ₹81 = ₹19