Business

Trade Discount Calculator

Chained discounts and net invoice price.

Enter your values

Results update instantly as you type — no submit needed.

Results
Net price
$1,684.80
Total saving
$715.20
Effective discount
29.8%
Sum of stated discounts
32.5%

Quick answer

Chained discounts apply one after another, so they never simply add together.

Net = list × (1 − d1) × (1 − d2) × (1 − d3)

How to use the Trade Discount Calculator

  1. 1Enter the list price.
  2. 2Enter each discount in the order applied.
  3. 3Compare the effective discount with the simple sum.

Frequently asked questions

Why is the effective discount lower?

Each discount applies to the already reduced amount.

Is settlement discount worth taking?

2/10 net 30 is an effective annual rate above 35% — usually yes.