How to Calculate Cost After Markdowns

The video tutorial demonstrates how to solve a markdown problem using a standardized test question. It involves calculating the final price of a sweater after applying a 10% markdown and a 25% coupon. The tutorial explains why the customer's claim of taking 35% off the original price is incorrect, as the discounts are applied sequentially, not cumulatively. The final price is calculated to be $27, and the video concludes with a clarification of the correct approach to solving markdown problems.

What is the original price of the sweater before any discounts?

• $40

• $60

• $50

• $30

After applying a 10% discount to the original price, what is the new price of the sweater?

• $30

• $32

• $34

• $36

How much is the 25% discount on the sale price of $36?

• $11

• $10

• $9

• $8

What is the final price of the sweater after applying both the sale and coupon discounts?

• $25

• $28

• $26

• $27

Why is the customer's claim about combining the discounts incorrect?

• The discounts are applied sequentially, not combined.

• The discounts should be added together.

• The coupon was not valid.

• The original price was calculated incorrectly.