What to deduct first from the discount? Is it the percentage or amount?

Question

How to calculate a discount which have both deductions using Percentage and Amount at the same time.
For e.g. Total Amount is 60,000 where I want 10% and 1,500 Discount. So if we deduct the 1,500 from 60,000 first we get the answer 52,650 and if we deduct the percent first then we get the amount 52,500.
I'm really confused what to use first to get a legit result.

nanoman · Answer

There is no universal answer. It depends on the rules and policies of the entity that is offering the discounts.
Typically, in a retail setting, if a seller allows combining dollar-off coupons with percent-off coupons, the dollar-off will be applied first, because this is to the seller's advantage.
On the other hand, if the dollar-off discount is in the form of a cash-equivalent like a gift card, the buyer may be able to use it as a method of payment toward the percent-off price, meaning the percent-off is effectively applied first.

What to deduct first from the discount? Is it the percentage or amount?

One Answer

Add your own answers!

Ask a Question