Decimal Data Types
Decimal data types are numeric data types used in programming and databases to represent decimal numbers with exact precision, avoiding the rounding errors common in floating-point representations. They are essential for financial calculations, currency handling, and any application requiring high accuracy in decimal arithmetic. These types store numbers as fixed-point or scaled integers, ensuring predictable and precise results.
Developers should use decimal data types when working with monetary values, accounting systems, or scientific measurements where exact decimal precision is critical, such as in e-commerce platforms or banking software. They are preferred over floating-point types in scenarios like tax calculations, interest computations, or inventory pricing to prevent cumulative rounding errors that could lead to financial discrepancies.