Percentage Increase Formula:
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Percentage increase measures how much a quantity has grown relative to its original value, expressed as a percentage. It's commonly used in finance, economics, statistics, and everyday life to track growth or expansion.
The calculator uses the percentage increase formula:
Where:
Explanation: The formula calculates the difference between the new and old values, divides by the original value to get the relative change, then converts to a percentage by multiplying by 100.
Details: Percentage increase is used in:
Tips: Enter both values (new and old) as positive numbers. The old value cannot be zero (division by zero is undefined). Results are rounded to 2 decimal places.
Q1: What if my old value is zero?
A: Percentage increase is undefined when the old value is zero because you cannot divide by zero. Consider using absolute difference instead.
Q2: How is this different from percentage points?
A: Percentage increase measures change relative to the original value. Percentage points measure absolute difference between two percentages.
Q3: Can percentage increase be negative?
A: Yes, if the new value is less than the old value, the result is negative, indicating a percentage decrease.
Q4: What's the difference between percentage increase and growth factor?
A: Growth factor is the multiplier (e.g., 1.20 for 20% increase), while percentage increase shows the change as a percentage.
Q5: How do I calculate percentage increase over multiple periods?
A: For compound growth, use the formula: Final Value = Initial Value × (1 + r)^n where r is the rate and n is the number of periods.