How to Calculate a Discount
There are two common discount calculations. (1) Finding the sale price: Sale Price = Original Price × (1 − Rate / 100). A 25% discount on 200 gives 200 × 0.75 = 150. (2) Finding the discount rate: Rate = (Original − Final) / Original × 100. If something dropped from 200 to 150, the discount is 25%.
Stacked Discounts
Two sequential discounts do not add up. A 20% then 10% discount gives a combined rate of 1 − (0.80 × 0.90) = 28%, not 30%. Always apply discounts multiplicatively, not additively.
Common Uses
Discount calculators are used in retail shopping, invoice pricing, coupon verification, salary negotiations, and wholesale purchasing to quickly determine real savings.
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