How to Calculate Percentage Change
The percentage difference shows the difference in percentage between two numbers and how much a number has increased or decreased over time.
Here’s the Formula for Percentage Change:
% Change = New Value Subtracted by Original Value, Divided by the Original Value. Multiply the entire value by 100.
That is: [(New Value − Original Value)/Original Value] × 100
Hence, the change in value can be determined by subtracting the original value from the new value.
So, Change in Value = New Value – Original Value
Now, the change in value can be increase or decrease
- If the result is positive, it's a percentage increase.
- If the result is negative, it's a percentage decrease.
Example:
The price of a mobile phone increased from ₹10,000 to ₹12,000. Find the percentage increase.
Solution:
- Original Price = 10,000
- New Price = 12,000
- Change in Value = 12,000 - 10,000 = 2,000
So, the price increased by 20%.
Calculate Percentage: Increase and Decrease
Percentage Increase and Percentage Decrease help measure how much a value has gone up or gone down over time. It is useful in tracking price changes, exam scores, and business profits.
Percent Increase
The ratio of a value increased to the original value, which is multiplied by 100, gives you the percent increase, expressed in percentage. If the new value is greater than the original value, it means there is a percentage increase in the original number.
Here’s the formula:
Percent Increase = [(new value - original value) / original value] × 100
Which is = Increase in Value/Original Value × 100
Here, if a value rises, the percentage also increases.
Steps Involved in Percent Increase Formula:
Step 1: The first step is to determine the difference in values
New value - original value = increase
Step 2: In the second step, divide the increase.
Divide the increase you obtained by subtracting the new and original values in the first step by the original value
X = Increase / original value
Step 3: Now, convert the number to a percentage
Percent increase = (increase / original value) x 100
X percent increase
Let’s understand it with an example:
Example:
The rent of a shop was ₹8,000 in September. It was increased to ₹12,000 in November. What is the percentage increase?
To calculate the percent increase:
Take into account the increase in rent by subtracting the new rent from the old one.
So, it is ₹12,000 - ₹8,000 = ₹4,000
The original rent was = ₹8000
So, percent increase = (4000/8000) ×100
= 0.5×100=50%
So, the rent has increased by 50% (percentage).
Percent Decrease
Similar to the Percent Increase, the ratio of a value decreased from the original value, which is multiplied by 100, gives you the percent decrease, expressed again in percentage. If the new value is less than the original value, the percentage change in the value represents the percent decrease in the original number.
Here’s the formula:
Percent Decrease = Decrease in Value/Original Value × 100
Here, by subtracting the New Value from the Original Value, you can find the Decrease in Value.
So, the Decrease in value = Original value – New value.
Here, if a value decreases, the percentage also decreases.
Steps Involved in Percent Decrease Formula:
Step 1: The first step is to calculate the decrease in values
Original Value - New value = Decrease
Step 2: In the second step, use the formula for percent decrease. Divide the value you obtained in step one by the original value
Decrease in Value/Original Value × 100
Step 3: Now, convert the number to a percentage
Percent Decrease = (Decrease / Original value) x 100
X Percent Decrease
Let’s understand it with an example:
A kitchen appliance that originally cost ₹20,000 is now available at ₹16,000 after a price drop. How do you find the percent decrease?
- The first step is to calculate the decrease: ₹20,000 - ₹16,000 = ₹4,000
- Now, to calculate the percent decrease, use the formula = (Decrease / Original Price) × 100
= (₹4,000 / ₹20,000) × 100
= 20%
So, the appliance price has decreased by 20%.
Application and Importance of Percentage in Academics
Percentage is a universal way to measure and compare performance in academics. It helps in grading, determining eligibility for further studies, and even qualifying for competitive exams.
Let’s understand the significant role that percentage plays in:
Academic Results:
- Percentage determines the scores and performance of candidates in academic report cards.
- Percentage represents the academic achievement of students by showing how much of the total marks they have scored.
- It converts GPA grades into percentages to identify if the marks received are showing improvements.
- It helps in tracking students’ progress in their entire academic year or over time.
Competitive Exam Results:
- Percentages are important for competitive exams, especially in entrance exams like engineering, medicine, and management.
- Percentages help create merit lists for admission to top institutions.
- Percentages help students get scholarships based on cut-offs.
- Even a slight percentage difference impacts the eligibility of candidates, which reflects its importance.
Common Mistakes to Avoid When Calculating Percentages
Here are some common mistakes to avoid when calculating percentages:
- Always check the marks twice to avoid errors of using wrong inputs to get wrong calculations.
- Rounding the percentage by ignoring decimals can make percentages inaccurate in some cases.
- Always divide by total marks before multiplying by 100. Mistakes in the formula can give wrong calculations.
- Don’t mix subject-wise and overall total marks. Any confusion in total marks can give wrong calculations.
- Small calculation mistakes can change the result. Hence, not rechecking the calculations can also give wrong calculations.
Advanced Tips for Calculations
- Re-check Values: Recheck and verify the marks obtained before calculating the percentage
- Follow the Formula Step by Step: Make sure to break down the calculations as per the steps to ensure accuracy
- Verify the Results Again: If you are using a calculator, make sure to do it manually once to verify the results
- Keep the Decimal Points in Mind: Do not ignore the decimal points as they may cause errors
- Avoid Haste: While calculating, avoid doing it in haste as it may lead to wrong calculations
Conclusion
Academic performance can be measured by calculating the percentage of marks quickly and effectively. This way, students can understand their strengths and the areas where they need to work on. Knowing how to calculate the percentage of marks helps in knowing the percentage and understanding your exam performance, which boosts confidence and allows setting realistic goals. The formula to calculate percentages is simple, and you can either use a calculator or do it manually.
Students who are willing to study abroad can find their percentage scores to check if they are eligible to apply to different global universities as per their cut-off percentages to navigate their foreign abroad dream. upGrad offers a wide range of study abroad programs for students to explore.