A local Barnes and Noble paid a $79.33 net price for each calculus textbook. The publisher offered a 10% trade discount. What was the publisher’s list price? (Round your answer to the nearest cent.)
To find the list price of the calculus textbook, we need to start by calculating the amount of the trade discount.
The trade discount is calculated by multiplying the net price by the trade discount rate. In this case, the trade discount rate is 10%, which can be expressed as 0.1.
Trade discount = Net price × Trade discount rate
Trade discount = $79.33 × 0.1
Trade discount = $7.933
Next, we can subtract the trade discount from the net price to find the list price of the textbook.
List price = Net price - Trade discount
List price = $79.33 - $7.933
List price = $71.397
Rounded to the nearest cent, the publisher's list price for the calculus textbook is $71.40.
To find the publisher's list price, we can use the formula:
List price = Net price / (1 - Trade discount)
Given that the net price is $79.33 and the trade discount is 10%, we can substitute these values into the formula:
List price = $79.33 / (1 - 0.10)
First, let's calculate the trade discount amount:
Trade discount = Net price * Trade discount rate
Trade discount = $79.33 * 0.10 = $7.933
Substituting this value into the formula:
List price = $79.33 / (1 - 0.10)
List price = $79.33 / 0.9
Now, divide the net price by 0.9:
List price ≈ $88.14
Therefore, the publisher's list price for the calculus textbook is approximately $88.14.