Discounts are a great way to save money and get the best deals on your purchases. However, calculating the discounted price can sometimes be a bit confusing. In this guide, we will walk you through the step-by-step process of calculating the discounted price. So, let’s get started!

What is a Discount?

A discount is a reduction in the original price of a product or service. It can be in the form of a percentage or a fixed amount. Discounts are offered by retailers and businesses to attract customers and increase sales.

How to Calculate the Discounted Price?

Calculating the discounted price involves a simple mathematical formula. The formula is as follows:

  • Step 1: Determine the original price of the item
  • Step 2: Determine the discount percentage or amount
  • Step 3: Subtract the discount amount from the original price

Let’s break down each step in detail.

Step 1: Determine the Original Price

The original price refers to the price of the item before any discounts are applied. It is the starting point for calculating the discounted price. You can usually find the original price on the price tag or the product’s description.

Step 2: Determine the Discount Percentage or Amount

The discount percentage or amount varies depending on the offer. It can be a fixed percentage, such as 10% off or $20 off. To calculate the discount amount, multiply the original price by the discount percentage. If the discount is a fixed amount, simply note down the value.

Step 3: Subtract the Discount Amount from the Original Price

Now that you have both the original price and the discount amount, subtract the discount amount from the original price. The result will be the discounted price you have to pay. This final price reflects the reduction you will receive due to the discount.

Let’s illustrate this with an example:

  • Step 1: Original price = $100
  • Step 2: Discount percentage = 20%
  • Step 3: Discount amount = $100 x 20% = $20

To calculate the discounted price:

  • Discounted price = Original price – Discount amount
  • Discounted price = $100 – $20 = $80

So, in this example, the discounted price would be $80.

Calculating the discounted price is a straightforward process that can save you money on your purchases. By following the steps outlined in this guide, you can easily determine the discounted price of any product or service. Always double-check the terms and conditions of the discount to ensure you are calculating it correctly. Happy shopping!

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