A $200 item is discounted 10 percent, and a further 10 percent is taken off the reduced price. What is the final price?

Correct answer to question 72 (Arithmetic Reasoning): $162.00

Method

The first cut leaves $180, and the second takes 10 percent of 180, which is $18, leaving $162. Two successive 10 percent cuts are not the same as one cut of 20 percent, which would give $160.