Answer to Question #317666 in Financial Math for cai

Question

The city council wants to sponsor 150 bags for their organization’s scholars. Each bag

costs $375. If they were to buy from the factory, they will be given 45% off the total

purchase. However, if they buy from the store they will be given 50% off the price for

each bag. Where will they have a cheaper purchase?

Answer 1

Number of bags -150

Each bag cost-$375

$total cost =375×150=\$56250$

For factory purchase

$Discount=45\%$

$\frac{45}{100}=\frac{9}{20}=\frac{x}{56250}$

$x=25312.5$

$56250-25312.5=\$30937.5$

For store purchase

$Discount=50\%$

$\frac{50}{100}=\frac{1}{2}=\frac{x}{56250}$

$x=28125$

$56250-28125=\$28125$

At store they will have a cheaper purchase of $\$28125$