How Discounts are Calculated
Calculating markdown price deductions is straightforward. Follow these steps:
- Determine the dollar value of the savings: `Savings = Original Price × (Discount % / 100)`.
- Subtract the savings from the original price to find the sale price: `Sale Price = Original Price - Savings`.
- If sales tax applies, calculate tax on the sale price: `Tax = Sale Price × (Tax % / 100)`.
- Add tax to find the final total: `Total = Sale Price + Tax`.
Examples of Sale Discounts
| Original Price | Discount % | You Save | Sale Price |
|---|---|---|---|
| $100.00 | 10% | $10.00 | $90.00 |
| $50.00 | 20% | $10.00 | $40.00 |
| $80.00 | 25% | $20.00 | $60.00 |
| $120.00 | 30% | $36.00 | $84.00 |