The relative decrease change. Definition:
The relative decrease change is the difference in an indicator over two periods in time, v1 - v2, relative to the value of the indicator in the earlier period, v1.
- Where:
- v1 - is called the reference value (original, initial number);
- v2 - is called the new value (the end value).
- In our case: v1 = 11.15, v2 = - 6.3.
The relative decrease change. Formula:
The relative decrease change =
The actual change / |v1|
(v1 - v2) / |v1| =
- Legend:
- v1 - the original number
- |v1| - the positive value of v1, |v1| >= 0. By example: |10| = 10; |-10| = 10.
- v2 - the new value
- The actual change = v1 - v2
- / - the fraction bar (division)
Why do we use |v1| in the formula instead of v1?
- Let's see what happens if we use v1 instead of |v1|:
- Choose a random negative number as the initial value: - 35.
- Choose a random positive number for the end value: 42.
Formula and calculation:
(v1 - v2) / v1 =
(- 35 - 42) / - 35 =
-77 / - 35 =
2.2
Although the absolute difference is negative: -77, the relative decrease change is positive: 2.2. By using |v1| instead of v1, the error is corrected.
The relative percent decrease change. Detailed calculations below
By multiplying a number by the fraction 100/100,
we change only the form of the result, not the result.
- 100/100 = 100% = 100 ÷ 100 = 1.
- n × 100/100 = (n × 100)/100 = (n × 100)%, any number.
The relative percent decrease change. Formula:
The relative percent decrease change =
The relative decrease change × 100/100 =
(The relative decrease change × 100)/100 =
(The relative decrease change × 100)%
Calculate the relative percent decrease change:
(11.15 - (- 6.3))/|11.15| =
(11.15 + 6.3)/|11.15| =
17.45/11.15 =
17.45 ÷ 11.15 =
17.45 ÷ 11.15 × 100/100 =
(17.45 × 100 ÷ 11.15)/100 =
(1,745 ÷ 11.15)/100 ≈
156.502242152466/100 =
156.502242152466% ≈
156.5%
(Rounded off to max. 2 decimal places)
The relative percent decrease change
from the original, initial value 11.15 to the final, end value - 6.3:
Rounded off to max. 12 decimal places ≈ 156.502242152466%
Rounded off to max. 2 decimal places ≈ 156.5%
The absolute (actual) difference
11.15 + 6.3 = 17.45
By what percentage has 11.15 decreased?
Answer: By ≈ 156.5%
By what percentage is - 6.3 smaller than 11.15?
Answer: By ≈ 156.5%
The relative percent decrease change is positive,
so we really have a relative percent decrease
(the value goes down).