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ASVAB · Interest, Discount, and Markup

A jacket originally priced at $80 is discounted 25%. What is the sale price?

Reviewed by Jordan Morley, Editorial Lead at 247SimpleTests. Written by the 247SimpleTests Editorial Team from the official source material cited on every question.

Correct answer

$60

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

Why this is the answer

A 25% discount means you subtract 25% of the price. First find the discount: 25% of $80 = 0.25 × 80 = $20. Then subtract from the original: $80 − $20 = $60. A faster method is to recognize that after a 25% discount you pay 75% of the original: 0.75 × $80 = $60. Discount problems test whether you can convert a percent to a decimal and decide whether to subtract (discount) or add (markup/tax). The sale price here is $60; the $20 answer is the discount amount, not the final price, so read the question carefully.
Source: ASVAB AR, Discount Pricing

Practice more questions

This question is from our ASVAB Practice Tests practice test. Take the full practice test to test your knowledge across all Interest, Discount, and Markup and other topics.

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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.

New to this exam? Our ASVAB exam guide explains the format, scoring, and how to prepare.

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