Goods listed at Rs 10,000 are sold at a trade discount of 20%, and a further cash discount of 2% is allowed on the net price. What is the amount received?
Answer and explanation
Correct answer: C. Rs 7,840
- Step 1: Price after trade discount = 10000 x 80% = 8000.
- Step 2: Cash discount applies to the net price: 8000 x 98% = 7840.
Answer
Rs 7,840.
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