Markup and discount Problem

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Gudang Team PT Langgeng Karya Teknik

• January 05, 2019 01:01

Unbalanced markup and discount.
Sell items with a markup of 20% then discount 20%, I get a minus value.I lost my money

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  Aronium Support

  • January 06, 2019 00:57
  • Edited

  Hi Gudang,

  The math for adding markup on cost price and applying the same discount on sale price will never be the same.

  Here is an example. Let's say you have a product that cost $100 and you sell it with 20% markup, the math is as follows:
  $100 * 1.2 = $120
  
  Now, when you deduct 20% discount on final price (which is $120) you cannot expect it to be $100, but $96, as follows:
  $120 * 0.8 = $96
  
  So, adding 20% to cost price, and deducting 20% from sales price will never be the same, as the base value from which you add / deduct percents is not the same.
  
  Hope this helps.

  Best regards, Aronium team.

   

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