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Percentages

Growth factor

The multiplicative form. A factor of 1.25 is the same information as +25%, and chained factors multiply.

The Formula

Growth Factor = New / Original

The multiplicative form. A factor of 1.25 is the same information as +25%, and chained factors multiply.

SymbolMeaning
fGrowth factor

What Each Symbol Means

fmultiple

Growth factor

Multiply successive period factors together to get the cumulative effect.

See It Worked With Real Numbers

A formula on its own does not tell you which number goes where. The how to calculate percentage change page applies this equation to a concrete case, shows every intermediate step, and names the mistakes that produce a wrong answer even when the algebra is right.

Where This Formula Appears

This equation is the working core of How To Calculate Percentage Change, filed under Math. Every number the guide produces comes from substituting into this one line.