CALCULATING PERCENT INCREASE AND DECREASE
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When a quantity grows (gets bigger), then we can compute its PERCENT INCREASE:

[beautiful math coming... please be patient] $\text{PERCENT INCREASE} = \frac{\displaystyle{(\text{new amount} - \text{original amount})}} {\displaystyle\text{original amount}} $

Some people write this formula with $\,100\%\,$ at the end,
to emphasize that since it is percent increase, it should be reported as a percent.

Recall that $\,100\% = 100\cdot\frac{1}{100} = 1\,$.
So, $\,100\%\,$ is just the number $\,1\,$,
and multiplying by $\,1\,$ doesn't change anything except the name of the number!

So, here's an alternate way to give the formula:

$\text{PERCENT INCREASE} = \frac{\displaystyle{(\text{new amount} - \text{original amount})}} {\displaystyle\text{original amount}}\cdot 100\% $

When a quantity shrinks (gets smaller), then we can compute its PERCENT DECREASE:

[beautiful math coming... please be patient] $\text{PERCENT DECREASE} = \frac{\displaystyle{(\text{original amount} - \text{new amount})}} {\displaystyle\text{original amount}} $
OR
$\text{PERCENT DECREASE} = \frac{\displaystyle{(\text{original amount} - \text{new amount})}} {\displaystyle\text{original amount}}\cdot 100\% $

Both formulas have the following pattern:

[beautiful math coming... please be patient] $\text{PERCENT INCREASE/DECREASE} = \frac{\displaystyle{\text{change in amount}}} {\displaystyle\text{original amount}} $
OR
$\text{PERCENT INCREASE/DECREASE} = \frac{\displaystyle{\text{change in amount}}} {\displaystyle\text{original amount}}\cdot 100\% $

Note that when you compute percent increase or decrease,
you always compare how much a quantity has changed to the original amount.

Note also that the numerator in these formulas is always a POSITIVE number
(or zero, if the quantity doesn't change at all).

EXAMPLES:
Question: A price rose from \$5 to \$7. What percent increase is this?
Solution: Which is the original price? Answer: \$5
This will be the denominator.

[beautiful math coming... please be patient] $\text{% increase} = \frac{(7-5)}{5} = \frac{2}{5} = 0.40 = 40\text{%}$
OR
$\text{% increase} = \frac{(7-5)}{5}\cdot 100\% = \frac{2}{5}\cdot 100\% = 2\cdot\frac{100}{5}\% = 2\cdot 20\% = 40\text{%}$

Note: No matter which version of the formula you choose to use,
be sure to give your answer as a PERCENT.
Question: A quantity decreased from 90 to 75. What percent decrease is this?
Solution: Which is the original quantity? Answer: 90
This will be the denominator.

[beautiful math coming... please be patient] $\text{% decrease} = \frac{(90-75)}{90} = \frac{15}{90} \approx 0.1667 = 16.67\text{%}$

Note: In the exercises below, if an answer does not come out exact, then it is rounded to two decimal places.
Question: An item went on sale for \$13 from \$16. What percent decrease is this?
Solution: Which is the original price? Answer: \$16
This will be the denominator.

[beautiful math coming... please be patient] $\text{% decrease} = \frac{(16-13)}{16} = 0.1875 = 18.75\text{%}$
Master the ideas from this section
by practicing the exercise at the bottom of this page.

When you're done practicing, move on to:
Problems Involving Percent Increase and Decrease

 
 
On this exercise, you will not key in your answer.
However, you can check to see if your answer is correct.
Take a look at my
monthly earnings from this website.
(an even number, please)