WATCH IT. TRY IT. UNDERSTAND IT.

Two discounts. One surprise.

20% off, then another 20%, gives 36% off overall. Change the offers and watch what happens to the price.

The example is loaded. Try a different number whenever you’re ready.

YOUR INTERACTIVE EXAMPLE

Make it yours.

Open the related calculator →

A LITTLE PRACTICE. A REAL “I GET IT”.

Your turn.
Can you call it?

Make a prediction before you reveal the answer. Use the method you just explored.

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Challenge 1 of 5

THE BIT THAT MAKES IT CLICK

Why does it work?

The first discount leaves a fraction (1 − a/100) of the original price. The second applies to that reduced amount, leaving another fraction (1 − b/100). Multiply those fractions together. The combined percentage discount is a + b − ab/100, not simply a + b.

Where this experiment applies

Percentage reductions only: 0–100% each; price $0–$100,000. The model applies both factors before rounding the final amount to the nearest cent. A checkout that rounds at each stage can differ by a penny. Fees, tax changes and excluded items are outside this example.

THE RULE, IN ONE LINE

Keep (1 − a/100) × (1 − b/100)

The explanation and the answer use the same numbers.

KEEP THAT CURIOSITY GOING

One more “aha”?