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Successive Discounts

CMAT 2026 · Quantitative Techniques & Data Interpretation · Easy · Percentage

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Sudhir purchased a chair with three successive discounts of 20%, 12.5% and 5%. The equivalent single discount is:

  1. A.

    33.5%

  2. B.

    30%

  3. C.

    32%

  4. D.

    35%

Answer

A

Explanation

Net Multiplier = (1−0.20)(1−0.125)(1−0.05)=0.80×0.875×0.95=0.70×0.95=0.665(1 - 0.20)(1 - 0.125)(1 - 0.05) = 0.80 \times 0.875 \times 0.95 = 0.70 \times 0.95 = 0.665. Single equivalent discount = (1−0.665)×100=33.5%(1 - 0.665) \times 100 = 33.5\%.

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