ASVAB · Interest, Discount, and Markup

A jacket costs $80. It is on sale for 25% off. What is the sale price?

Correct answer

$60

  1. A $65
  2. B $55
  3. C $20
  4. D $60

Why this is the answer

25% of $80 = $20 discount. Sale price = $80 - $20 = $60. Two-step discount problems: find the discount amount first (25% of 80 = 20), then subtract it. The distractor $20 is the discount itself, not the price; $65 subtracts only $15 (which would be 18.75%); $55 subtracts $25 — a common slip of treating '25% off' as '$25 off'.
Source: ASVAB AR, Discount

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About this topic: Interest, Discount, and Markup

Interest, discount and markup questions use the same percentage machinery: simple interest (principal × rate × time), sale prices after a discount, and selling price after a markup. Watch for two-step problems where the percentage applies to a changed amount. This is one of 9 Arithmetic Reasoning questions on interest, discount, and markup, each with a full explanation on a single study page.

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