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25-06-2017
Mathematics

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Best Buy buys an iPod from a wholesaler with a $300 list price and a 5% trade discount. What is the trade discount amount? What is the net price of the iPod?

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mathmate mathmate

25-06-2017

Trade discounts are discounts offered to retailers off the list price.
Thus the retailer pays (300)(1-0.05)=$285 (=net cost of the iPod)

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