Question

Fantasia Florist Shop purchases an order of imported roses with a list price of $2,375 less trade discounts of 15/20/20. What is the dollar amount of the trade discount?

Answer 1

15/20/20 is a successive discount of 15%, followed by 20% on the discounted price, and finally another 20% of the doubly discounted price.
For example, $1000 with a trade discount of 15/20/30 would have a final discounted price of
$1000*(1-0.15)(1-0.20)(1-0.30)=$476
So the trade discount is
$1000-$476=$524.

Answer 2

$1,292.00