Asked by Firzah Barawas on Apr 29, 2024
Verified
If a product is discounted by $233.9\$ 233.9$233.9 and is selling for $890.1\$ 890.1$890.1 , what is the discount rate? Round your answer to two decimal places.
A) 15.41%
B) 26.28%
C) 20.81%
D) 35.64%
E) 79.19%
Discount Rate
The interest rate used to discount future cash flows to their present value.
Round
To adjust a number to a desired degree of precision, usually to a nearby value that is easier to work with or understand.
- Determine calculations for markup, markdown, discount, and unit pricing in scenarios associated with financial literacy.
Verified Answer
JG
Jessica Gregg
May 04, 2024
Final Answer :
C
Explanation :
The discount rate is calculated by dividing the discount amount by the original price and then multiplying by 100 to get a percentage. The original price can be found by adding the discount to the selling price: $233.9 + $890.1 = $1124. The discount rate is then ($233.9 / $1124) * 100 = 20.81%.
Learning Objectives
- Determine calculations for markup, markdown, discount, and unit pricing in scenarios associated with financial literacy.