 # Discount Formula

Discount refers to the condition of the price of a bond that is lower than the face value. The discount equals the difference between the price paid for and it’s par value.

Discount is a kind of reduction or deduction in the cost price of a product. It is mostly used in consumer transactions, where people are provided with discounts on various products. The discount rate is given in percentage.

$\large Discount = List\;Price-Selling\;Price$

$Therefore,$

$\large Selling\;Price=List\;Price-Discount$

$\large List\;Price=Selling\;Price+Discount$

#### Discount Percentage Formula

$\large Rate\;of\;Discount = Discount\;\% = \frac{Discount}{List\;Price}\times 100$

$\large Selling\;Price= List\;Price\left ( \frac{100-discount\;\%}{100} \right )$

$\large List\;Price= Selling\;Price\left (\frac{100}{100-discount\;\%} \right )$

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