Kamlesh offers the following two discount schemes to his customers on the sale of an article:
(i) Two successive discounts of 25% and 5%
(ii) Two successive discounts of 20% and 10%
What is the difference between the selling price (in ₹) of the article under these two discount schemes if its marked price is ₹1,000?

The correct answer is 7.5 (Option 2).

Given Data:
Marked Price ($MP$) = ₹1,000

Scheme (i): Two successive discounts of 25% and 5%

Selling Price under Scheme (i), $S_1$:

$S_1=MP\times \left(1-\frac{25}{100}\right)\times \left(1-\frac{5}{100}\right)$

$S_1=1000\times \frac{75}{100}\times \frac{95}{100}$

$S_1=1000\times 0.75\times 0.95=712.5$

So, the selling price under Scheme (i) is ₹712.50.

Scheme (ii): Two successive discounts of 20% and 10%

Selling Price under Scheme (ii), $S_2$:

$S_2=MP\times \left(1-\frac{20}{100}\right)\times \left(1-\frac{10}{100}\right)$

$S_2=1000\times \frac{80}{100}\times \frac{90}{100}$

$S_2=1000\times 0.80\times 0.90=720.0$

So, the selling price under Scheme (ii) is ₹720.00.

Difference between the two selling prices:

$\text{Difference}=S_2-S_1=720.0-712.5=7.5$

Thus, the difference between the selling prices under the two discount schemes is ₹7.5.