What is the formula for 3% discount?

Calculating a 3% Discount: A Simple Guide

Determining a discounted price is a common calculation in retail, finance, and many other fields. A 3% discount, in essence, represents a proportional reduction from the original price. This article clarifies the straightforward formula for achieving this reduction.

The most direct approach to calculating a 3% discount is to multiply the original price by 0.03. This yields the absolute monetary value of the discount. For instance, if an item costs $100, a 3% discount is calculated as $100 x 0.03 = $3.

Alternatively, you can subtract this calculated discount from the original price. This will provide the discounted price directly. Using the same example, the discounted price would be $100 – $3 = $97.

The underlying principle is proportional reduction. A 3% discount signifies that the customer pays 97% of the original price. This is reflected by the equivalent calculation: $100 x 0.97 = $97.

Therefore, to determine the discounted price, one can either calculate the discount amount and subtract it from the original price, or directly calculate 97% of the original price. Both methods yield the same discounted figure. This simple formula ensures accurate and efficient discount calculations.