Discount calculator – Calculate discount, savings & selling price

What is a discount calculator?

A discount calculator is a handy mathematical tool that solves the missing piece of your shopping puzzle. Knowing two pieces of information allows you to easily calculate the third: the original list price, the exact discount percentage, or the final sale price. This simple calculation also lets you determine exactly how much money you're saving on your purchase.

Calculating discount percentage from list price and sale price

If you want to find the discount percentage when you know the original price and the final sale price, the steps are very easy to follow.

First, take the original list price of the item and subtract the new sale price. This tells you your exact savings in cash. Next, take those savings and divide them by the original list price. Finally, simply multiply the result by 100. This final number gives you the exact discount percentage, helping you see how good the deal really is!

Where:

• L = List Price
• S = Sale Price
• D = Discount percentage

Example: Let's say the list price of an item is $150 and the final sale price is $105. The discount percentage is calculated as follows:

• D = (L − S) / L × 100
• D = (150 − 105) / 150 × 100
• D = 45 / 150 × 100
• D = 0.30 × 100
• D = 30%
• Savings amount = $150 − $105 = $45

Calculating final sale price from list price and discount

To find the final sale price of an item, you only need to perform a quick, simple calculation using the original price and the store's discount rate.

First, calculate the exact amount of money being discounted from the item. You find this by dividing the discount percentage by 100 and then multiplying that number by the original list price. Once you know your exact savings in cash, simply subtract that amount from the original list price. The remaining amount is your final sale price, telling you exactly what you'll pay at checkout.

Example: If the list price of an item is $200 and the discount is 40%, then the final sale price is calculated as follows:

• S = L − (D / 100 × L)
• S = 200 − (40 / 100 × 200)
• S = 200 − (0.40 × 200)
• S = 200 − 80
• S = $120
• Savings amount = $200 − $120 = $80

Calculating original list price from discount and sale price

If you only know the final sale price and the discount percentage, you can easily calculate backwards to find the original list price. The process is very simple and helps you see the actual value of the item before any discounts were applied.

First, divide the discount percentage by 100 to convert it into a simple decimal. Next, subtract this decimal from the number 1. Finally, take the final sale price and divide it by the number you just obtained from the subtraction step. This quick calculation gives you the exact original price of the item before sales or discounts were applied.

Example: If the sale price of an item is $90 and the discount is 25%, then the original list price is calculated as follows:

• L = S / (1 − D / 100)
• L = 90 / (1 − 25 / 100)
• L = 90 / (1 − 0.25)
• L = 90 / 0.75
• L = $120
• Savings amount = $120 − $90 = $30

Example problem for discount calculation

Let's look at a real-life shopping example to see how to calculate a discount percentage in everyday life.

Sarah bought a new TV at a special sale price of $600.00. The original list price of the TV was $800.00. What was the percentage discount on the TV's original price?

Using the formula above, the list price (L) is $800.00, and the sale price (S) is $600.00.

Sarah got a 25% discount on her new TV.

FAQ

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