A hardware store purchased 120 hot water tanks at $590 each and set their regular selling price to $775. The store sold 40% of them at regular selling price. During a sale, it sold another 35 units at a reduced price. The remaining units were sold at cost.

a. If the net rate of markup was 20% on total cost, what should be the reduced selling price?

b. What was the rate of markdown offered during the sale?

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