Quantitative Literacy Practice Exam

A jacket is discounted by 15% and then an additional 30%. What is the equation for finding the final price?

1. Final Price = Original Price - (15% + 30% of Original Price)

2. Final Price = Original Price * (1 - 0.15) * (1 - 0.30)

3. Final Price = Original Price + (15% + 30% of Original Price)

4. Final Price = Original Price - (0.15 * Original Price) + (0.30 * Original Price)

The correct answer is: Final Price = Original Price * (1 - 0.15) * (1 - 0.30)

The correct answer involves understanding how percentages are applied sequentially to the original price to determine the final price. In this case, the jacket undergoes two consecutive discounts: first, a discount of 15% and second, an additional discount of 30% applied to the price after the first discount. When you apply the 15% discount first, you calculate what remains of the original price by multiplying the original price by (1 - 0.15). This gives you 85% of the original price. The equation at this stage looks like: Remaining after first discount = Original Price * (1 - 0.15) Next, the second discount of 30% is applied to the new price (which is derived from the first discount). To find the amount remaining after the second discount, you multiply the remaining price from the first discount by (1 - 0.30). This means you take 70% of the price after the first discount: Final Price = (Original Price * (1 - 0.15)) * (1 - 0.30) Putting this all together leads to the equation: Final Price = Original Price * (1 - 0.15) * (1 - 0.30)