Results 1 to 3 of 3

Math Help - Retail Math problem involving quantity discount. Have answer need to know the work!

  1. #1
    Newbie
    Joined
    Dec 2008
    Posts
    1

    Retail Math problem involving quantity discount. Have answer need to know the work!

    ok. I don't understand the wording of the problem I guess. I know the answer, it's at the back of my textbook, just not how to get it. A friend in my same major, who took the class last year can't figure it out either. Maybe we're both having an off day.

    Problem: As an incentive, a supplier offers an additional 10% quantity discount on orders of more than 5 bikes. The normal trade discount offered by the supplier is 40%, 10% on the suggested list price of $250 each. how much would a retailer remit if 8 bikes are purchased?

    The answer is $972.

    What I tried:
    8 bikes x $250 ea. = $2,000 list price

    Step 2. Find the billed cost:

    $2,000 total list price x 40% trade discount = $800 trade discount
    $2,000 list price - $800 trade discount = $1200 billed cost


    That's where I get stuck. If I take the 10% quantity discount from the $1200... that comes to $1080. But the answer supposed to be $972. Am I even doing the right thing by taking a 40% trade discount off? The wording is so weird to me.

    Thanks.
    Follow Math Help Forum on Facebook and Google+

  2. #2
    Newbie
    Joined
    Dec 2008
    Posts
    5

    mm i get the answer already......

    this is my solution...
    8 bikes = RM 250 x 8












    Quote Originally Posted by tots View Post
    ok. I don't understand the wording of the problem I guess. I know the answer, it's at the back of my textbook, just not how to get it. A friend in my same major, who took the class last year can't figure it out either. Maybe we're both having an off day.

    Problem: As an incentive, a supplier offers an additional 10% quantity discount on orders of more than 5 bikes. The normal trade discount offered by the supplier is 40%, 10% on the suggested list price of $250 each. how much would a retailer remit if 8 bikes are purchased?

    The answer is $972.

    What I tried:
    8 bikes x $250 ea. = $2,000 list price

    Step 2. Find the billed cost:

    $2,000 total list price x 40% trade discount = $800 trade discount
    $2,000 list price - $800 trade discount = $1200 billed cost


    That's where I get stuck. If I take the 10% quantity discount from the $1200... that comes to $1080. But the answer supposed to be $972. Am I even doing the right thing by taking a 40% trade discount off? The wording is so weird to me.

    Thanks.
    Follow Math Help Forum on Facebook and Google+

  3. #3
    Newbie
    Joined
    Dec 2008
    Posts
    5

    Smile mm i get the answer already......

    mm this is my solution:

    8 bikes = $250 x 8
    = $2000

    Trade discount :
    $2000 x 40% = $800
    $2000 - $800 = $1200

    then have 10% trade discount on suggestion list price:
    $1200 x 10% = $120
    $1200 - $120 = $1080

    the incentive buy more than 5 bikes, so have additional 10% quantity discount :
    $1080 x 10% = $108
    $1080 - $108 = $ 972

    this is my solution..i don't know wheter u agree or not...
    anyway..thnx for the question..
    i'm doing revision of business math for my final exam..













    Quote Originally Posted by tots View Post
    ok. I don't understand the wording of the problem I guess. I know the answer, it's at the back of my textbook, just not how to get it. A friend in my same major, who took the class last year can't figure it out either. Maybe we're both having an off day.

    Problem: As an incentive, a supplier offers an additional 10% quantity discount on orders of more than 5 bikes. The normal trade discount offered by the supplier is 40%, 10% on the suggested list price of $250 each. how much would a retailer remit if 8 bikes are purchased?

    The answer is $972.

    What I tried:
    8 bikes x $250 ea. = $2,000 list price

    Step 2. Find the billed cost:

    $2,000 total list price x 40% trade discount = $800 trade discount
    $2,000 list price - $800 trade discount = $1200 billed cost


    That's where I get stuck. If I take the 10% quantity discount from the $1200... that comes to $1080. But the answer supposed to be $972. Am I even doing the right thing by taking a 40% trade discount off? The wording is so weird to me.

    Thanks.
    Follow Math Help Forum on Facebook and Google+

Similar Math Help Forum Discussions

  1. Replies: 9
    Last Post: October 10th 2010, 09:44 AM
  2. Replies: 1
    Last Post: November 18th 2009, 10:18 PM
  3. Replies: 2
    Last Post: November 4th 2009, 05:03 AM
  4. Problem involving work
    Posted in the Algebra Forum
    Replies: 2
    Last Post: February 17th 2009, 06:17 PM
  5. Problem involving work
    Posted in the Calculus Forum
    Replies: 2
    Last Post: September 30th 2008, 05:16 PM

Search Tags


/mathhelpforum @mathhelpforum