1. What is a Price Change Percentage Calculator?

Definition: This calculator determines the percentage change between an old price and a new price.

Purpose: It helps individuals and businesses analyze price fluctuations, inflation rates, investment returns, and other financial metrics.

2. How Does the Calculator Work?

The calculator uses the formula:

Where:

• \( \%\ Change \) — The percentage increase or decrease
• \( New\ Price \) — The current or updated price
• \( Old\ Price \) — The original or previous price

Explanation: The difference between new and old price is divided by the old price to get the relative change, then multiplied by 100 to convert to percentage.

3. Importance of Price Change Calculation

Details: Understanding price changes helps with budgeting, financial planning, investment analysis, and economic trend monitoring.

4. Using the Calculator

Tips: Enter both old and new prices in dollars. The old price must be greater than zero. Positive results indicate price increases, negative results indicate decreases.

5. Frequently Asked Questions (FAQ)

Q1: What does a negative percentage mean?
A: A negative percentage indicates a price decrease from the old to new price.

Q2: Can I use this for non-price calculations?
A: Yes, this works for any quantity change (weights, measurements, etc.) not just prices.

Q3: Why is the old price in the denominator?
A: This makes the change relative to the original value, providing meaningful comparison.

Q4: How do I interpret a 0% result?
A: This means there was no change between the old and new prices.

Q5: What's the difference between percentage change and percentage points?
A: Percentage change is relative to the original value, while percentage points are absolute differences between percentages.