Successive Discounts and Net Percentage Change A successive discount is a reduction in the price of a good or service. For example, if you buy a shirt fo...
A successive discount is a reduction in the price of a good or service. For example, if you buy a shirt for £20 and then receive a 10% discount, you would then pay £18. Similarly, if you buy a movie ticket for £15 and then receive a 15% discount, you would then pay £12.
The net percentage change is the final price paid after all discounts have been applied. In our previous example, the net percentage change would be 10% (discounting the original price of £20) minus 15% (discounting the discounted price of £18), resulting in a net price of £18.
Successive discounts can be applied in any order, and the final price paid will always be lower than the original price. For example, if you buy a shirt for £20 and then receive a 10% discount, followed by a 5% discount, you would ultimately pay £15.
The net percentage change can also be applied to situations where discounts are not applied in the same order. For instance, if you buy a shirt for £20 and then receive a 10% discount and then a 5% discount, the net percentage change would be 5% (discounting the discounted price of £15).
Here are some additional examples:
If you buy a book for £10 and then receive a 20% discount, the net percentage change would be 80% (20% off £10).
If you buy a movie ticket for £15 and then receive a 10% discount, followed by a 20% discount, the net percentage change would be 10%.
If you buy a shirt for £20 and then receive a 30% discount, followed by a 5% discount, the net percentage change would be 25%