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- anonymous

A Model NV 300 acoustic- electric guitar I being sold for a list price of 1,899.90 with a cash discount of 3/10, n/30. Sales tax is 7% and shipping is $30.40. How much is the final price if the cash discount period was met?

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- anonymous

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- anonymous

I can help you if you tell me what 3/10, n/30 means.

- anonymous

Im not sure the problem came that way.

- anonymous

Ah - let's assume it means a 30% discount.
You need to be careful about what the percentages apply to.
you start with the base amount of 1899.9
then do the discount which I'm guessing is 30%.
so 1899.9 *(1-0.3) or 1899.9*0.7
Then you add sales tax.
so 1899.9*(1-0.3) *(1+0.07)
Then add shipping (assuming it is not taxed)
so 1899.9*(1-0.3) *(1+0.07) + 30.40

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- anonymous

sorry you lost me

- anonymous

Where

- anonymous

Then you add sales tax.
so 1899.9*(1-0.3) *(1+0.07)
Then add shipping (assuming it is not taxed)
so 1899.9*(1-0.3) *(1+0.07) + 30.40one second ago
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- anonymous

Adding sales tax is the problem?

- anonymous

When you add a percentage amount, you also have the original amount. So if you had something costing 200 then added 7% sales tax it will be the original 200 plus 7% of 200.
a quick way to write that is 200 times (1 + 7%) or 200 * 1.07.

- anonymous

To increase by a percentage you multiply by 1 + the percentage.
To decrease by a percentage you multiply by 1 minus the percentage.

- anonymous

Is that what the problem was?

- anonymous

|dw:1323375110675:dw|

- anonymous

Ok I get it now

- anonymous

Great. Please give me a medal. ;)

- anonymous

This is all wrong, no no no!. The 3/10, n/10 means 3 cents on the dollar and the seller will give buyers a 3% cash discount if the buyer pays within 10 days. However, it the buyer does not pay within 10 days (n/10~ net/10) the full amount is due in 30 days. She does NOT get a MEDAL!

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