Discount Formula:
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The discount formula calculates the final price after applying a percentage reduction to the original price. It's commonly used in retail, sales, and financial calculations.
The calculator uses the discount formula:
Where:
Explanation: The formula converts the percentage discount to a decimal multiplier (1 - discount/100) and applies it to the original price.
Details: Accurate discount calculation helps consumers understand actual savings and businesses determine profitable pricing strategies.
Tips: Enter the original price (must be positive) and discount percentage (between 0-100). The calculator will show the final price and amount saved.
Q1: How do I calculate a 20% discount?
A: Multiply the original price by 0.80 (1 - 20/100 = 0.80).
Q2: What's the difference between discount amount and discount percentage?
A: Discount amount is a fixed dollar reduction, while percentage discount is relative to the original price.
Q3: Can discounts exceed 100%?
A: Normally no, as that would imply paying the customer to take the product. Maximum discount is 100% (free).
Q4: How do I calculate the original price if I know the discounted price?
A: Original Price = Discounted Price / (1 - Discount%/100)
Q5: Are multiple discounts cumulative?
A: Multiple percentage discounts are multiplicative, not additive (e.g., 20% then 10% off = 28% total discount, not 30%).