A shopkeeper was offering two successive discounts of 20% and 15% on an item whose marked price is ₹1,000, while another shopkeeper was offering a flat 33% discount on the same item. Find the positive difference in the nominal amounts of discounts given by the two shopkeepers on the sale of the item.

A shopkeeper was offering two successive discounts of 20% and 15% on an item whose marked price is ₹1,000.

Price of an item after the discount = 1000 of (100-20)% of (100-15)%

= 1000 of 80% of 85%

= $$1000\times\frac{80}{100}\times\frac{85}{100}$$

= 680

So discount = 1000-680 = 320    Eq.(i)

while another shopkeeper was offering a flat 33% discount on the same item.

Discount offered by another shopkeeper = 1000 of 33%

= 330    Eq.(ii)

Positive difference in the nominal amounts of discounts given by the two shopkeepers on the sale of the item = Eq.(ii)-Eq.(i)

= 330-320

= 10