1. What is Growth Rate?

Growth Rate measures the percentage change between an old value and a new value. It's commonly used in finance, economics, business, and science to track changes over time.

2. How Does the Calculator Work?

The calculator uses the growth rate formula:

Where:

• \( New \) — The new or current value
• \( Old \) — The original or previous value

Explanation: The formula calculates the relative change between two values as a percentage of the original value.

3. Importance of Growth Rate Calculation

Details: Growth rate is essential for analyzing trends, making business decisions, evaluating investments, and understanding population changes. It helps compare changes across different scales.

4. Using the Calculator

Tips: Enter both old and new values as positive numbers. The old value cannot be zero (division by zero is undefined). Results are shown as percentages.

5. Frequently Asked Questions (FAQ)

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 do I interpret a 100% growth rate?
A: A 100% growth rate means the value has doubled (new value is 200% of the old value).

Q3: Can I calculate growth rate over multiple periods?
A: For compound growth over multiple periods, you would need to calculate compound annual growth rate (CAGR) instead.

Q4: What's the difference between growth rate and percentage change?
A: They are essentially the same calculation, though growth rate is typically used when discussing increases over time.

Q5: How precise are the calculations?
A: Results are rounded to 2 decimal places for readability, but the calculation uses full precision internally.