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For example, if the original price was $50 and we have two discounts: 20% and 10% , then we’re doing something like this: $50 – 20% = $50 – $10 = $40 . Then $40 – 10% = $40 – $4 = $36 .

## How are stacked discounts calculated?

Stacking discounts enables you to apply multiple discounts to a line item/order.

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Apply Two Percentage Discounts to Same Product

- The item is discounted by 20% and becomes $80.
- The $80 amount is discounted by 10% and becomes $72.
- The product is now $72.

## How do you combine two percentages?

How to add percentages together: first, add the given percentages to 100. Then convert the percentages to decimals and multiply to the base value. Finally, use the new value and multiply it by the second percentage.

## How do you calculate 3 successive discount?

100 be the price. Here, x = 6%, y = 10% and z = 15%. To get the require discount, we need to subtract 71.91 from 100, i.e. 100 – 71.91 = 28.09. Therefore, 3 successive discounts of 6%, 10%, 15% is equal to a single discount of 28.09%.

## How do you solve successive discount questions?

If the successive discounts d1, d2, and d3 are given on an item, then the selling price of that item is calculated by, SP = (1 – d1/100) x (1 – d2/100) x (1 – d3/100) x MP, where SP is selling price and MP is marked price.

## How do you calculate trade discount in accounting?

Formula: How Is Trade Discount Calculated? A trade discount, or a functional discount, is deducted from a seller’s original catalogue list price either as a specific monetary amount or a percentage reduction, in which case the trade discount amount is calculated by multiplying the list price by the discount percentage.

## How do you calculate total discount in Excel?

The basic formula for calculating a percentage is =part/total. Say you want to reduce a particular amount by 25%, like when you’re trying to apply a discount. Here, the formula will be: =Price*1-Discount %. (Think of the “1” as a stand-in for 100%.)

## How do I calculate a discount in Excel?

=RATE (nper, pmt, pv, [fv], [type], [guess]) The Excel formula for calculating the discount rate—often used for calculating the interest rate for a loan or determining the rate of return required for hitting a particular investment objective.

## How do you calculate discount rate for NPV?

Formula for the Discount Factor

NPV = F / [ (1 + r)^n ] where, PV = Present Value, F = Future payment (cash flow), r = Discount rate, n = the number of periods in the future).

## What is the calculation for discount?

The basic way to calculate a discount is to multiply the original price by the decimal form of the percentage. To calculate the sale price of an item, subtract the discount from the original price. You can do this using a calculator, or you can round the price and estimate the discount in your head.