A dining establishment offers a fixed menu priced at $840. A 12% VAT is applied to the food cost. Additionally, there is a 25% discount on the set meal. What is the effective discount for the set meal?

Answer Choices

Correct answer marked below

14.00%

15.00%

16.00%

Correct

22.50%

23.00%

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Explanation

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Official Explanation

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To find the effective discount, we first calculate the price after the discount. The original price is $840, and with a 25% discount, the discount amount is $840 imes 0.25 = $210. Thus, the price after the discount is $840 - $210 = $630. Next, we need to add the 12% VAT to this discounted price. The VAT amount is $630 imes 0.12 = $75.60.…

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Comments

sprinkieeApr 28, 2024

thankss

What this question tests

What it tests

Your fluency with the order of operations, fractions, decimals, and basic number sense — the foundation every quant question leans on.

Common trap

Applying the order of operations out of sequence or rounding intermediate values before the final step.