Growth Rate Formula:
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Growth rate measures the percentage change between an old value and a new value. It's commonly used in finance, economics, biology, and other fields to quantify how much something has changed over time.
The calculator uses the standard growth rate formula:
Where:
Explanation: The formula calculates the relative difference between two values as a percentage of the original value.
Details: Growth rate helps compare changes across different scales, track progress over time, and make predictions about future performance.
Tips: Enter both old and new values (must be positive numbers). The old value cannot be zero as division by zero is undefined.
Q1: What does a negative growth rate mean?
A: A negative growth rate indicates a decrease from the old value to the new value.
Q2: How is this different from percentage change?
A: Growth rate is essentially the same as percentage change - both measure relative difference as a percentage.
Q3: Can I use this for financial calculations?
A: Yes, this is commonly used to calculate revenue growth, profit growth, or investment returns.
Q4: What if my old value is zero?
A: Growth rate is undefined when the old value is zero, as you cannot divide by zero.
Q5: How do I interpret a 100% growth rate?
A: A 100% growth rate means the new value is exactly double the old value.