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Business Calculators

Discount Calculator

Apply a discount to a price and see what it costs you in margin, plus the volume needed to stand still.

$
%
$

Discounted price

$96.00

Customer saves
$24.00
Margin after discount
50%
Extra volume to hold profit
50%
Price and profit
List priceSale priceProfit after discount

How this calculator works

Sale price = list × (1 − discount); margin = (sale price − cost) ÷ sale price

volume needed
the sales increase required to keep total profit unchanged

Important considerations

  • Frequent discounting trains customers to wait for the sale.
  • A 20% discount on a 40% margin needs a 100% volume increase to break even.

Learn more

Terms used here

Frequently asked questions

Why do small discounts hurt so much?

The discount comes entirely out of profit, not revenue, so the percentage effect on margin is much larger.

Disclaimer

Legamoney calculators are educational tools. Results are estimates based on the figures you enter and do not constitute financial, tax or legal advice.

Last reviewed 2026-08-01