Q:

A $129.50 stereo is discounted 40%. The next month, the sale price is discounted 60%. Is the stereo now “free”? If not, what is the sale price? Accepted Solution A: --------------------------------------------------------------------------- Original Price ---------------------------------------------------------------------------$129.50

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Discount
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40% of $129.50 = 0.4 x 129.50$51.80

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Price after discount
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$129.50 -$51.80 = $77.70 --------------------------------------------------------------------------- Further discount of 60% -------------------------------------------------------------------------- 60% of$77.70
=  0.6 x 77.7
= $46.62 --------------------------------------------------------------------------- Price after discount ---------------------------------------------------------------------------$77.70 - $46.62 =$31.08

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Answer: It is not free. It still cost \$31.08.
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