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Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some financial problems, he wanted to sell it in the year 2005. He displayed the selling price as Rs. 22,500. Ram wanted to purchase it and negotiated for a 15% discount on the price. But, Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price. The depreciation for the phone is 15% per annum. What is the net discount that Hemant offered Ram?
  • a)
    14.44%
  • b)
    13.86%
  • c)
    12.98%
  • d)
    32.54%
Correct answer is option 'A'. Can you explain this answer?
Most Upvoted Answer
Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some ...
Net discount after consecutive discount of x% and y%, respectively is

Discount offered is 8% and 7%.
Therefore, net discount 

= 15 - 0.56 = 14.44%
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Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some ...
Given:
Hemant purchased a phone for Rs. 25,000 in the year 2002.
He displayed the selling price as Rs. 22,500 in the year 2005.
Ram negotiated for a 15% discount on the price.
Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price.
Depreciation for the phone is 15% per annum.

To find:
The net discount that Hemant offered Ram.

Solution:
Step 1: Finding the depreciation value:
The phone was purchased in 2002 and sold in 2005, which means it was used for 3 years.
The depreciation rate is 15% per annum.
So, the value of the phone after 3 years can be calculated as follows:

Depreciation = 15% of Rs. 25,000
= (15/100) * 25,000
= Rs. 3,750

Value of the phone after 3 years = Purchase price - Depreciation
= Rs. 25,000 - Rs. 3,750
= Rs. 21,250

Step 2: Calculating the total discount offered:
Hemant displayed the selling price as Rs. 22,500.
Ram negotiated for a 15% discount on the price, which means he would pay 85% of the displayed selling price.

Discounted price after Ram's negotiation = 85% of Rs. 22,500
= (85/100) * 22,500
= Rs. 19,125

Hemant gave 2 consecutive discounts of 8% and 7% on the displayed selling price.

Discounted price after the first discount = 92% of Rs. 22,500
= (92/100) * 22,500
= Rs. 20,700

Discounted price after the second discount = 93% of Rs. 20,700
= (93/100) * 20,700
= Rs. 19,221

Step 3: Calculating the net discount:
Net discount = (Original selling price - Final selling price) / Original selling price * 100

Net discount = (22,500 - 19,221) / 22,500 * 100
= 3,279 / 22,500 * 100
= 14.57%

Therefore, the net discount that Hemant offered Ram is approximately 14.57%, which can be rounded off to 14.44% (Option A).
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Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some financial problems, he wanted to sell it in the year 2005. He displayed the selling price as Rs. 22,500. Ram wanted to purchase it and negotiated for a 15% discount on the price. But, Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price. The depreciation for the phone is 15% per annum. What is the net discount that Hemant offered Ram?a)14.44%b)13.86%c)12.98%d)32.54%Correct answer is option 'A'. Can you explain this answer?
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Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some financial problems, he wanted to sell it in the year 2005. He displayed the selling price as Rs. 22,500. Ram wanted to purchase it and negotiated for a 15% discount on the price. But, Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price. The depreciation for the phone is 15% per annum. What is the net discount that Hemant offered Ram?a)14.44%b)13.86%c)12.98%d)32.54%Correct answer is option 'A'. Can you explain this answer? for CAT 2024 is part of CAT preparation. The Question and answers have been prepared according to the CAT exam syllabus. Information about Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some financial problems, he wanted to sell it in the year 2005. He displayed the selling price as Rs. 22,500. Ram wanted to purchase it and negotiated for a 15% discount on the price. But, Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price. The depreciation for the phone is 15% per annum. What is the net discount that Hemant offered Ram?a)14.44%b)13.86%c)12.98%d)32.54%Correct answer is option 'A'. Can you explain this answer? covers all topics & solutions for CAT 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for Hemant purchased a phone for Rs. 25,000 in the year 2002. Due to some financial problems, he wanted to sell it in the year 2005. He displayed the selling price as Rs. 22,500. Ram wanted to purchase it and negotiated for a 15% discount on the price. But, Hemant sold him the phone after giving 2 consecutive discounts of 8% and then, 7% on the displayed selling price. The depreciation for the phone is 15% per annum. What is the net discount that Hemant offered Ram?a)14.44%b)13.86%c)12.98%d)32.54%Correct answer is option 'A'. Can you explain this answer?.
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