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How to calculate a discount in Excel and Google Sheets

Topic:Finance basics
Excel & Google Sheets
=A2-(A2*B2)

Verified example

Computed by a real spreadsheet engine on the sample data below.

Original PriceDiscount RateFinal Price
2000.1
5000.25
800.15
12000.3

=A2-(A2*B2)180

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Step by step

  1. 1Create two columns: Original Price (A) and Discount Rate as a decimal (B, e.g., 0.20 for 20%).
  2. 2In the Discount Amount column, enter =A2*B2 to compute how much is taken off.
  3. 3In the Final Price column, enter =A2-(A2*B2) or equivalently =A2*(1-B2) to get the price after the discount.

Tips

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Describe your columns in plain English and get the precise formula for your sheet, with the right Excel or Sheets syntax.

Frequently asked

How do I find the original price if I know the discounted price and the discount rate?

Divide the discounted price by (1 - discount rate): =A2/(1-B2).

Can I stack multiple discounts?

Multiply sequentially: =A2*(1-B2)*(1-C2) where B2 and C2 are the two discount rates.

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Formulas used

Written and reviewed by FormulaCraft Team. Each formula on this page is run through our verification engine before publishing.

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