A single discount equivalent to three successive discounts of 10%, 20%, and 25% is:

Topic: Profit and Loss
Subtopic: Successive Discounts

A42%

B46%

C48%

D50%

Explanation

Net factor = (1 – 0.10)(1 – 0.20)(1 – 0.25) = 0.90 * 0.80 * 0.75 = 0.54. Equivalent discount = (1 – 0.54) * 100 = 46%. Wait: 1-0.54 = 46%. So 46%.

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