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CAT Exam Model Paper 1 with solutions for free online practice
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© examsnet.com
Question : 73
Total: 100
As a strategy towards retention of customers, the service centre of a split AC machine manufacturer offers discount as per the following rule—for the second service in a year, the customer can avail of a 10% discount, for the third and fourth service within a year, the customer can avail of 11% and 12% discounts respectively of the previous amount paid.
Finally, if a customer gets more than four services within a year, he has to pay just 55% of the original servicing charges. If Rohan has availed 5 services from the same service centre in a given year, the total percentage discount availed by him is approximately.
16.52
20.88
22.33
24.08
Validate
Solution:
(b) Consider the following table
Service
Discount
Amount Paid
1st
0
100
2nd
10
100 × 0.90 = 90
3rd
11
90 × 0.89 = 80.1
4th
12
80.1 × 0.88 = 70.488
5th
–
55
Total amount paid = 100 + 90 + 80.1 + 70.488 + 55 = 395.588
Net discount after five services = 5(100) − 395.588 = 104.412
Discount %
=
104.412
500
×
100
=
20.8824
=
20.88
%
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