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Calculating Percentage Decrease: Methodologies

Category: Mathematics
January 11, 2024
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"How do you calculate a decrease in percentage? A guide demonstrating various methods to calculate percentage decrease, aiding in numerical analysis and financial calculations."
Calculating Percentage Decrease: Methodologies

Table of Contents

How do you calculate a decrease in percentage?

To calculate the percentage decrease, you can use the following formula:

Percentage Decrease=(Original ValueNew ValueOriginal Value)×100\text{Percentage Decrease} = \left( \frac{\text{Original Value} - \text{New Value}}{\text{Original Value}} \right) \times 100

Here's a step-by-step guide on how to use the formula:

  1. Identify the Original and New Values:

    • The "Original Value" is the initial quantity or amount.
    • The "New Value" is the quantity or amount after the decrease.
  2. Subtract the New Value from the Original Value:

    • Subtract the New Value from the Original Value.
  3. Divide the Result by the Original Value:

    • Divide the result from step 2 by the Original Value.
  4. Multiply by 100:

    • Multiply the result from step 3 by 100 to express the decrease as a percentage.

Here's the formula in a concise form:

Percentage Decrease=(Original ValueNew ValueOriginal Value)×100\text{Percentage Decrease} = \left( \frac{\text{Original Value} - \text{New Value}}{\text{Original Value}} \right) \times 100

Let's illustrate this with an example:

Suppose the original price of an item was $200, and now it has been reduced to $150. To calculate the percentage decrease:

Percentage Decrease=(200150200)×100\text{Percentage Decrease} = \left( \frac{200 - 150}{200} \right) \times 100

Percentage Decrease=(50200)×100\text{Percentage Decrease} = \left( \frac{50}{200} \right) \times 100

Percentage Decrease=0.25×100\text{Percentage Decrease} = 0.25 \times 100

Percentage Decrease=25%\text{Percentage Decrease} = 25\%

Therefore, the item has experienced a 25% decrease in price.

How do you compute a percentage decrease?

To calculate the percentage decrease, you can use the following formula:

Percentage Decrease=(Original ValueNew ValueOriginal Value)×100\text{Percentage Decrease} = \left( \frac{\text{Original Value} - \text{New Value}}{\text{Original Value}} \right) \times 100Percentage Decrease=(Original ValueOriginal ValueNew Value)×100

Here's a step-by-step guide on how to use the formula:

  1. Identify the Original and New Values:

    • The "Original Value" is the initial quantity or amount.
    • The "New Value" is the quantity or amount after the decrease.
  2. Subtract the New Value from the Original Value:

    • Subtract the New Value from the Original Value.
  3. Divide the Result by the Original Value:

    • Divide the result from step 2 by the Original Value.
  4. Multiply by 100:

    • Multiply the result from step 3 by 100 to express the decrease as a percentage.

Here's the formula in a concise form:

Percentage Decrease=(Original ValueNew ValueOriginal Value)×100\text{Percentage Decrease} = \left( \frac{\text{Original Value} - \text{New Value}}{\text{Original Value}} \right) \times 100Percentage Decrease=(Original ValueOriginal ValueNew Value)×100

Let's illustrate this with an example:

Suppose the original price of an item was $200, and now it has been reduced to $150. To calculate the percentage decrease:

Percentage Decrease=(200150200)×100\text{Percentage Decrease} = \left( \frac{200 - 150}{200} \right) \times 100Percentage Decrease=(200200150)×100

Percentage Decrease=(50200)×100\text{Percentage Decrease} = \left( \frac{50}{200} \right) \times 100Percentage Decrease=(20050)×100

Percentage Decrease=0.25×100\text{Percentage Decrease} = 0.25 \times 100Percentage Decrease=0.25×100

Percentage Decrease=25%\text{Percentage Decrease} = 25\%Percentage Decrease=25%

Therefore, the item has experienced a 25% decrease in price.

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