once and sold or disposed of. Real world settings, especially in the apparel industry, involve many cases where
multiple discounts are used. Under multiple discounts, a retailer has a series of discounts that are progressively used
as the product remains on the shelf. In this paper we formulate and solve a newsboy problem with multiple
discounts. The new problem is solved with the objectives of 1) maximizing the expected profit and 2) maximizing the
probability of achieving a target profit. We show that multiple discounts, when possible, provide higher expected
profit than using a single discount. We verify the analytical results using numerical integration and illustrate the
results with numerical examples