# DISCOUNT TYPE

#### Pietro Di Micio

##### New Member
Hello All,

My doubt here is about not only excel but also a simple math concept; if I have to calc 10% of discount I have seen many people using both ways below, BUT the TYPE B seems more correct; in this sense I would like do understand WHEN should I use A or B.

 TYPE A 1.5 10% 150 1.650 10% 165 1.485 TYPE B 1.5 10% 1.667 10% 167 1.5

SAMPLE_A.xlsx
BCDEFGHIJ
3TYPE A1,50010%1501,65010%1651,485
4TYPE B1,50010%1,66710%1671,500
Sheet1
Cell Formulas
RangeFormula
F3F3=C3+E3
H3,G4,E3H3=F3*G3
I3,H4I3=F3-H3
E4E4=C4/(1-D4)

### Excel Facts

Format cells as currency
Select range and press Ctrl+Shift+4 to format cells as currency. (Shift 4 is the \$ sign).
I am not following the logic of your calculation (not really sure what you are doing there, or trying to show us).

If something costs 1500, and then you apply a 10% discount to that, the final cost would be 1350.
The calculation is simply:
= initial value * (1 - discount percent)

If 1500 is the discounted price, and you know there was a 10% discount, then the original price would be 1667.67.
The calculation is simply:
= initial value / (1 - discount percent)

They are two entirely different calculations (they go in opposite directions).
In the first one, 1500 is the cost BEFORE discount (so you are trying to figure out the discounted price).
In the second one, 1500 is the cost AFTER discount (so you are trying to figure out the original prices)

Thank you

You are welcome.

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