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10 June, 00:41

Trey receives a 5% commission on every sale he makes. On the sale of a 60$ coat (before any discounts), how many more cents will he receive if his commission is based on the original price of the coat rather than the price of the coat after a 20% discount?

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  1. 10 June, 02:54
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    Trey has 60 more cents in commission, if his commission is based on the original price of the coat.

    Explanation:

    Commission received based on original price of $60 is 5% of $60=$3

    While the commission applicable if the commission is based on the price of the coat after 20% discount is 80% of $60 * 5%=$2.4

    The difference between the two discount figures is $3-$2.4=$0.60

    Hence Trey has 60 more cents if discount is computed using the former basis instead of the latter approach.
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