Percent Increase and Decrease

Front

What is Percent Increase?

Back

Percent Increase is the amount by which a value increases, expressed as a percentage of the original value. Formula: ((New Value - Original Value) / Original Value) x 100.

Front

What is Percent Decrease?

Back

Percent Decrease is the amount by which a value decreases, expressed as a percentage of the original value. Formula: ((Original Value - New Value) / Original Value) x 100.

Front

How do you calculate the total price after a markup?

Back

Total Price = Original Price + (Markup Percentage x Original Price). For example, if a book costs $4.25 and has a 30% markup, Total Price = $4.25 + (0.30 x $4.25) = $5.53.

Front

If a person earns $300 in one month and 8% more the next month, how do you calculate the new earnings?

Back

New Earnings = Original Earnings + (Percentage Increase x Original Earnings). For example, New Earnings = $300 + (0.08 x $300) = $324.

Front

What is the formula to calculate sales tax?

Back

Sales Tax = Price of Item x Tax Rate. For example, if a TV costs $899 and the tax rate is 6.5%, Sales Tax = $899 x 0.065 = $58.43, Total Price = $899 + $58.43 = $957.44.

Front

What does the term 'markup' mean?

Back

Markup is the amount added to the cost price of goods to cover overhead and profit. It is usually expressed as a percentage of the cost price.

Front

What is the relationship between original amount and percent change?

Back

The original amount is the starting value before any increase or decrease. Percent change shows how much the original amount has increased or decreased.

Front

How do you find the new amount after a percentage increase?

Back

New Amount = Original Amount + (Percentage Increase x Original Amount). For example, for 710 points with a 10% increase, New Amount = 710 + (0.10 x 710) = 781.

Front

What is the formula for calculating percent change?

Back

Percent Change = ((New Value - Original Value) / Original Value) x 100.

Front

What is a common mistake when calculating percent increase?

Back

A common mistake is to confuse the increase with the original value. Always subtract the original value from the new value before dividing.