You are at the store and the price of your goods costs 100. You have two coupons that you can use $30 off the price of your goods or 15% off the price of your goods. Which is better?
You are at the store and the price of your goods costs 100. You have two coupons that you can use:
$30 off the price of your goods
15 percent off the price of your goods
Which coupon yields the better value?
Calculate Dollar off Price denoted as Pd:
Pd = Price - Dollar off Pd = $100.00 - $30.00 Pd = $70.00
Calculate Percentage off Price denoted as Pp:
Discount Percentage =
15
100
Discount Percentage = 0.15
If the discount is x%, that means you only pay for (1 - x)% of the price, shown below Pp = Price x (1 - Discount Percentage) Pp = 100 x (1 - 0.15) Pp = 100 x (0.85) Pp = $85.00
In this case, the dollar discount of 30 is better than 15% off, so you would use the dollar coupon
Project the price where the percentage discount beats the dollar discount:
In other words, we need to know when 15% x Price ≥ 30 From above, 15% = 0.15
Divide each side of the equation by 0.15
0.15 x Price
0.15
≥
30
0.15
Cancelling 0.15 from the left side of the equation to solve for price, we get:
Price =
30
0.15
Projected Price ≥ $200.00
This means that if you buy more than $200.00 of goods, the percentage coupon will reign supreme!
What is the Answer?
Projected Price ≥ $200.00
How does the Coupon Comparison Calculator work?
Given a cost of goods, a dollar off coupon, and a percentage off coupon, this calculator will compare the two deals and determine which one is of more value. If the dollar coupon wins, the calculator will project the break even price where the dollar coupon would surpass the percentage coupon This calculator has 3 inputs.
What 1 formula is used for the Coupon Comparison Calculator?
Discount Price = Price x (1 - Discount Percentage)
