How Do You Calculate A Percentage Change?
Percentage change is used to measure the increase or decrease in a value based on the starting value. People use percentage change to measure the performance of investments or the increase or decrease of populations. Using a percentage rather than a straight number to represent change puts the increase or decrease in context. For example, if a town with a population of 3,000 people suddenly increases by 6,000 people, the town has grown by 200 percent. If a metropolis like New York increases by 6,000 people, the change is not nearly as significant. Determine the initial and final values. For example, if you were calculating the percentage change in a stock price during the course of a year, you would look up the share price at the beginning of the year and the share price at the end of the year. Subtract the original price from the final price. For example, if the stock went from $180 at the start of the year to $162 at the end of the year, you would subtract $180 from $162 to find an d