Respuesta :
Ethan should pay $31.99 for the video game he bought on discount sale.
Discount is a pricing strategy to encourage more sales by cutting of some part of price and offer a lower price of a product that its original price. The ultimate goal of discount pricing is to increase the sales immediately.
Discount strategy can come in variety of different discount, such:
- Quantity discount (the higher quantity purchased, the lower the price)
- Loss discount (discount leads to a loss of profits)
- Cash discount (special discount on specific dates)
- Location discount (lower delivery costs)
- Trade discount (trade-in old products to get new product at lower price)
- Loyalty product (member-only discount, high-spending customers, loyalty programme)
In Ethan's case, we could see that he experiences a cash discount, where he could purchase a video game on a lower price. We know that:
Original price = $39.99
Discount sale = 20%
Price paid ?
To find the price Ethan paid, we have to find the discounted price first. Discounted price is the price cut caused by discount.
Discounted price = discount sale x original price
Discounted price = 20% x $39.99
Discounted price = $8.00
The price Ethan paid should be the remaining price after the original price discounted.
Price paid = original price - discounted price
Price paid = $39.99 - $8.00
Price paid = $31.99
Learn more about Discount here: https://brainly.com/question/7149216
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