the single equivalent discount rate of the trade discount 3/3/1 is
To calculate the single equivalent discount rate of a trade discount, we need to convert the multiple discounts into a single discount rate.
The trade discount 3/3/1 means that there are three different discounts offered: a 3% discount, a 3% discount, and finally a 1% discount.
To calculate the single equivalent discount rate, follow these steps:
Step 1: Calculate the net price after the first discount:
Take the original price and subtract the discount amount. For example, if the original price is 100 dollars and the first discount is 3%, the discounted price would be 100 - (100 * 0.03) = 100 - 3 = 97 dollars.
Step 2: Calculate the net price after the second discount:
Take the net price from Step 1 and subtract the second discount amount. Using the previous example, if the second discount is also 3%, the new net price would be 97 - (97 * 0.03) = 97 - 2.91 = 94.09 dollars.
Step 3: Calculate the net price after the third discount:
Take the net price from Step 2 and subtract the third discount amount. In our example, if the third discount is 1%, the final net price would be 94.09 - (94.09 * 0.01) = 94.09 - 0.94 = 93.15 dollars.
Step 4: Calculate the single equivalent discount rate:
To find the equivalent single discount rate, subtract the final net price from the original price and divide it by the original price. Using our example, the single equivalent discount rate would be (100 - 93.15) / 100 = 6.85 / 100 = 0.0685 or 6.85%.
Therefore, the single equivalent discount rate of the trade discount 3/3/1 is 6.85%.