Discounted Meaning: Definition, Examples, and Translations
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discounted
[dษชsหkaสntษชd ]
Definition
financial term
The term 'discounted' refers to a reduction in price or value. It often applies to financial calculations where future cash flows are reduced to their present value using a specific rate. Discounts can be applied in various contexts such as retail sales, where products are sold for less than their original price, or in finance, where the value of an investment is adjusted to reflect its current worth. Understanding discounted prices can help consumers make informed purchasing decisions.
Synonyms
cut-rate, lowered, on sale, reduced.
Examples of usage
- The store offered a discounted price on winter clothing.
- Investors often look at discounted cash flows to evaluate potential projects.
- She bought the ticket at a discounted rate for seniors.
- The service provided a discounted package for new customers.
Translations
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Interesting Facts
Economics
- Discounting is a key pricing strategy used by retailers to entice customers and increase sales volume.
- Economists often discuss 'discounted cash flow' which helps evaluate the worth of investments by considering future cash inflows at present value.
- The psychology of discounts suggests that consumers perceive the same product as more attractive when it has a reduced price, often leading to impulse buying.
Marketing
- Limited-time discounts create urgency and encourage quicker purchasing decisions among consumers.
- Many stores use discounts to clear out old stock to make room for new items, effectively managing inventory.
- Flash sales, which offer significant discounts for very short periods, have become popular due to their influence on online shopping behavior.
Cultural Impact
- Events like Black Friday and Cyber Monday are renowned worldwide for offering massive discounts, significantly affecting shopping behaviors.
- Discount culture can vary across countries; for instance, some regions expect sales during specific seasons or festivals.
- Promotions involving discounts have led to the rise of retail events where customers anticipate sales, shaping the commercial calendar.
Technology
- Online platforms utilize algorithms to determine personalized discounts based on shopping behavior and preferences.
- Apps and websites track discounts across different retailers, helping consumers find the best deals quickly.
- Dynamic pricing models, often seen in services like airline tickets and ride-sharing, adjust discounts based on demand and availability.
Origin of 'discounted'
Main points about word origin
- The word comes from the Latin 'discountare', where 'dis-' means 'to reverse' and 'counte' means 'to count'. It literally means 'to count down'.
- It originally referred to subtracting a certain amount from the total bill in financial transactions.
- The modern usage began to gain popularity in the 19th century with retail sales practices.
The word 'discounted' originates from the verb 'discount', which comes from the Old French term 'descomter', meaning 'to deduct'. This term is derived from 'comter', meaning 'to count'. The prefix 'dis-' conveys a sense of removal or negation. In the 16th century, the word was used in a commercial context to refer to the deducting of interest from a sum. Over time, its usage expanded to encompass a broader range of reductions in price, leading to the current understanding of 'discounted' as a term indicating a reduction in the regular price of goods or services. The evolution of the word has been influenced by both economic practices and changing consumer behaviors, ultimately becoming a staple term in modern retail and finance.