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 = 497, v2 = 399,660,314.
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: - 55.
- Choose a random positive number for the end value: 91.
Formula and calculation:
(v1 - v2) / v1 =
(- 55 - 91) / - 55 =
-146 / - 55 ≈
2.654545454545 ≈
2.65
Although the absolute difference is negative: -146, the relative decrease change is positive: 2.65. 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:
(497 - 399,660,314)/|497| =
- 399,659,817/497 =
- 399,659,817 ÷ 497 =
- 399,659,817 ÷ 497 × 100/100 =
(- 399,659,817 × 100 ÷ 497)/100 =
(- 39,965,981,700 ÷ 497)/100 ≈
- 80,414,450.10060362173/100 =
- 80,414,450.10060362173% ≈
- 80,414,450.1%
(Rounded off to max. 2 decimal places)
The relative percent decrease change
from the original, initial value 497 to the final, end value 399,660,314:
Rounded off to max. 12 decimal places ≈ - 80,414,450.10060362173%
Rounded off to max. 2 decimal places ≈ - 80,414,450.1%
The absolute (actual) difference
497 - 399,660,314 = - 399,659,817
By what percentage has 497 decreased?
Answer: By ≈ - 80,414,450.1%
By what percentage is 399,660,314 smaller than 497?
Answer: By ≈ - 80,414,450.1%
The relative percent decrease change is negative,
so in this case we really have a relative percent increase instead
(the value goes up).