Question 28 • Financial Math
A 20% discount should be subtracted from the original $100: $100 − ($100 × 0.20) = $80. Instead, the employee added 20%, treating the discount as a markup. Then a 30% markup should be added, but the employee subtracted it, treating the markup as a discount. Thus the employee switched the discount and markup, as choice C states.
AI-written and checked against the verified answer.