Calculating Net Selling Price with Successive Discounts and Reward Points

Let's break down the calculation to find the final net selling price of the laptop after applying the successive discounts and using the reward points.

Step 1: Understand the Marked Price and Discounts

The laptop is marked at ₹72,000. The store offers two successive discounts: 20% and 25%. Successive discounts are applied one after the other on the remaining price.

• Marked Price = ₹72,000
• First Discount Rate = 20%
• Second Discount Rate = 25%

Step 2: Calculate the Price After the First Discount

The first discount of 20% is applied to the marked price.

Price after 1st discount = Marked Price - (20% of Marked Price)

Using LaTeX for calculation:

\( \text{Price after 1st discount} = \text{₹}72,000 - (0.20 \times \text{₹}72,000) \\ = \text{₹}72,000 - \text{₹}14,400 \\ = \text{₹}57,600 \)

Step 3: Calculate the Price After the Second Successive Discount

The second discount of 25% is applied to the price *after* the first discount (₹57,600).

Price after 2nd discount = Price after 1st discount - (25% of Price after 1st discount)

Using LaTeX for calculation:

\( \text{Price after 2nd discount} = \text{₹}57,600 - (0.25 \times \text{₹}57,600) \\ = \text{₹}57,600 - \text{₹}14,400 \\ = \text{₹}43,200 \)

This ₹43,200 is the selling price after applying both successive discounts, before considering reward points.

Step 4: Calculate the Value of Reward Points

The customer has 2850 reward points, and each point is worth ₹0.10.

Value of reward points = Number of points × Value per point

Using LaTeX for calculation:

\( \text{Value of reward points} = 2850 \times \text{₹}0.10 \\ = \text{₹}285 \)

So, the customer can get a reduction of ₹285 using their reward points.

Step 5: Calculate the Net Selling Price After Using Reward Points

The net selling price is the price after discounts minus the value of the reward points used.

Net Selling Price = Price after both discounts - Value of reward points

Using LaTeX for calculation:

\( \text{Net Selling Price} = \text{₹}43,200 - \text{₹}285 \\ = \text{₹}42,915 \)

Therefore, the net selling price of the laptop for the customer is ₹42,915.

Revision Table: Key Concepts

Additional Information: Calculating Equivalent Single Discount

Instead of applying successive discounts step-by-step, you can calculate a single equivalent discount rate. If two successive discounts are D1% and D2%, the equivalent single discount D% is calculated as:

\( D = D1 + D2 - \frac{D1 \times D2}{100} \)

In this problem, D1 = 20% and D2 = 25%.

\( D = 20 + 25 - \frac{20 \times 25}{100} \\ D = 45 - \frac{500}{100} \\ D = 45 - 5 \\ D = 40\% \)

So, two successive discounts of 20% and 25% are equivalent to a single discount of 40%. Applying this to the marked price:

\( \text{Price after discounts} = \text{Marked Price} \times (1 - \frac{\text{Equivalent Discount}}{100}) \\ = \text{₹}72,000 \times (1 - \frac{40}{100}) \\ = \text{₹}72,000 \times (1 - 0.40) \\ = \text{₹}72,000 \times 0.60 \\ = \text{₹}43,200 \)

This confirms the price after successive discounts calculated in Step 3. The net selling price is then found by subtracting the reward points value from this amount, as shown in Step 5.