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Relative Change Calculator

Relative Change Formula:

\[ \text{Relative Change} = \frac{\text{New Value} - \text{Old Value}}{\text{Old Value}} \times 100\% \]

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1. What is Relative Change?

Relative change measures the difference between a new value and an old value relative to the old value. It's expressed as a percentage and shows how much something has changed in comparison to its original value.

2. How Does the Calculator Work?

The calculator uses the relative change formula:

\[ \text{Relative Change} = \frac{\text{New Value} - \text{Old Value}}{\text{Old Value}} \times 100\% \]

Where:

Explanation: The formula calculates the difference between new and old values as a percentage of the old value. Positive values indicate increase, negative values indicate decrease.

3. Importance of Relative Change

Details: Relative change is widely used in finance, economics, science, and business to compare changes across different scales. It provides a standardized way to express changes regardless of the absolute values involved.

4. Using the Calculator

Tips: Enter both old and new values. The old value cannot be zero (division by zero is undefined). Values can be positive or negative, but must be numerical.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between relative and absolute change?
A: Absolute change shows the simple difference (new - old), while relative change shows this difference as a percentage of the old value.

Q2: Can relative change be more than 100%?
A: Yes, if the new value is more than double the old value, the relative change will exceed 100%.

Q3: What does negative relative change mean?
A: Negative relative change indicates a decrease from the old value to the new value.

Q4: Why use relative change instead of absolute change?
A: Relative change provides context about the significance of the change relative to the starting point, making comparisons more meaningful.

Q5: What if my old value is zero?
A: The calculation is undefined when old value is zero, as you cannot divide by zero. Consider using absolute change in such cases.

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