Ever wondered how businesses track growth or how your salary increase is calculated? It all comes down to understanding percentage increase. Don't worry, it's easier than you think!
The fundamental question is: How do you work out a percentage increase?
The magic formula is:
**Percentage Increase = [(New Value - Original Value) / Original Value] x 100**
Let's break it down with an example:
Imagine your company's revenue jumped from $100,000 to $120,000. Here's how to calculate the percentage increase:
1. **Find the difference:** $120,000 - $100,000 = $20,000
2. **Divide by the original value:** $20,000 / $100,000 = 0.2
3. **Multiply by 100:** 0.2 x 100 = 20%
Therefore, your company's revenue experienced a 20% increase. Mastering this calculation empowers you to analyze trends, track progress, and make informed decisions in various aspects of life, from finance to fitness!
