Home Depot wants to buy a new line of fertilizers. Manufacturer A offers a 21/13 chain discount. Manufacturer B offers a 26/8 chain discount. Both manufacturers have the same list price. What manufacturer should Home Depot buy from, show why?

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Home Depot wants to buy a new line of fertilizers. Manufacturer A offers a 21/13 chain discount. Manufacturer B offers a 26/8 chain discount

Chain discount (a/b) means a% discount in original price plus b% discount in discounted price

Manufacturer A offers a 21/13 chain discount

Lets 100 be the original price

21% discount on original price , so discounted price = 100 -21= 79

13% discount on discounted price ,

so final price= 79 -(79*0.13)=$68.73

Manufacturer B offers a 26/8 chain discount

Lets 100 be the original price

26% discount on original price , so discounted price = 100 -26= 74

8% discount on discounted price ,

so final price = 79 -(79*0.13)=$68.08

The final price of Manufacturer B is less than Manufacturer A,

so Home Depot should buy from Manufacturer B

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