A percentage discount reduces the original price by a fixed proportion. The final price after a discount is calculated with two steps: first find the discount amount, then subtract it from the original price.
Discount amount = Original price × Discount % ÷ 100
Final price = Original price − Discount amount
For example, a $80 item with a 25% discount: discount amount = $80 × 25 ÷ 100 = $20. Final price = $80 − $20 = $60.
| Discount | You pay | You save |
|---|---|---|
| 10% | 90% of price | $10 on $100 |
| 20% | 80% of price | $20 on $100 |
| 25% | 75% of price | $25 on $100 |
| 30% | 70% of price | $30 on $100 |
| 50% | 50% of price | $50 on $100 |
| 70% | 30% of price | $70 on $100 |
If you know the sale price and the discount percentage, you can find the original price by dividing the sale price by (1 − discount/100). A $60 item sold at 25% off had an original price of $60 ÷ 0.75 = $80.
When two discounts apply in sequence — for example 20% off, then an extra 10% off — they do not simply add up to 30%. The second discount applies to the already-reduced price. A $100 item at 20% off becomes $80. A further 10% off $80 gives $72, not $70. The combined effective discount is 28%, not 30%.
A discount reduces the price at the point of sale. Cashback returns a portion of the price after the purchase. A 10% discount on a $100 item saves you $10 immediately. A 10% cashback returns $10 after purchase — functionally identical in value, but the timing differs. Some cashback programmes have caps, expiry dates, or minimum spend thresholds that reduce their effective value.
Multiply the original price by the discount percentage, then divide by 100. That gives the discount amount. Subtract it from the original price to get the final sale price. For example: $120 × 15% = $18 discount. Final price = $120 − $18 = $102.
20% of $50 is $10, so the final price is $40. You save $10.
Divide the sale price by (1 minus the discount as a decimal). If a sale price is $75 after a 25% discount: $75 ÷ 0.75 = $100 original price.
No. Stacked discounts are applied sequentially, not added together. A 20% discount followed by a 10% discount gives an effective 28% total discount, not 30%.
In terms of price per unit, yes — if you buy two items where one is free, you pay 50% of the total cost. However, BOGO requires purchasing two units, while a 50% discount applies to a single unit.