Two pairs of socks cost $2 x 2 = $<<2*2=4>>4.
Jaco's total charge is $74 + $4 + $42 = $<<74+4+42=120>>120.
The amount that exceeds $100 is $120 - $100 = $<<120-100=20>>20.
So, Jaco has $20 x 10/100 = $<<20*10/100=2>>2 discount.
Therefore, Jaco will pay $120 - $2 = $<<120-2=118>>118 for those items.
#### 118