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Frequently asked questions
General
When adjusting prices of selected inventory items to accommodate cash discounts, our app uses a specific formula to calculate the final price accurately.
Formula for Price Increase:
Final Price = Initial Price / (1 - (Percent Increase / 100))Example with a 3% Increase:
If the initial price of an item is $10 and you apply a 3% increase, here’s how to calculate it:
Convert the percentage increase to a decimal: 3% becomes 0.03.
Calculate the divisor as 1 minus this decimal: 1 - 0.03 = 0.97.
Divide the initial price by the divisor: $10 / 0.97 ≈ $10.31.
The adjusted price of approximately $10.31 ensures that after applying a 3% cash discount to this price, it returns to the original $10.
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