A store receives $400 cash after offering a chain discount of 10/10/5 on a good. What was the list price?
A. $492.20
B. $519.82
C. $533.33
D. $612.00
A
To find the list price, we need to work backwards from the given cash received after the chain discount.
The chain discount of 10/10/5 means that the store received a 10% discount, followed by another 10% discount, and finally a 5% discount.
Let's start with the last discount of 5%. Since the store received $400 after this discount, we can calculate the amount before the 5% discount as follows:
$400 is equal to 100% - 5% = 95% of the amount before the discount.
So, let's calculate the amount before the 5% discount by dividing $400 by 95%:
Amount before 5% discount = $400 / 0.95 = $421.05 (rounded to two decimal places)
Next, we can move on to the second discount of 10%. The amount before the 10% discount would be:
Amount before 10% discount = Amount before 5% discount / 0.9 = $421.05 / 0.9 = $467.83 (rounded to two decimal places)
Finally, we can calculate the amount before the first discount of 10%. The amount before the 10% discount would be:
Amount before 10% discount = Amount before 10% discount / 0.9 = $467.83 / 0.9 = $519.81 (rounded to two decimal places)
Therefore, the list price was approximately $519.81.
Among the given options, the closest value to $519.81 is option B: $519.82.
So, the answer is option B: $519.82.