Max Damage Reduction?

Can someone help me understand how damage reduction is calculated? For example, Aquila Cuirass gives 50% reduced damage and also my Valor 2 piece set gives up to 50% reduced damage. Not to mention armor.

Thanks!

Different sources are multiplicative. For example 50% from a set and 50% from Aquila Cuirass result a total of 75% damage reduction (total damage recieved: 0.5 x 0.5 = 0.25). Total armor rating is another multiplier and resistances yet another multiplier.

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Ok, thank you Kirottu.