Percentage Difference Formula in Excel

Formula Explanation

To calculate the percentage difference between two numbers in Excel, you can use the following formula:

=ABS((NewValue - OldValue) / OldValue) * 100

Components of the Formula:

1. NewValue: The new or later number.
2. OldValue: The original or earlier number.
3. ABS(): This function returns the absolute value of a number to ensure the percentage difference is always positive.
4. Division: The difference between the new and old value is divided by the old value to find the relative change.
5. Multiplication by 100: This converts the decimal result into a percentage.

Practical Example

Suppose you have the following values:

• Old Value (in cell A1) = 50
• New Value (in cell B1) = 75

Step-by-Step Application:

1. Enter the old value (50) in cell A1.
2. Enter the new value (75) in cell B1.
3. In cell C1, enter the formula to calculate the percentage difference:

=ABS((B1 - A1) / A1) * 100

Calculation Breakdown:

• The difference between new and old value: 75 - 50 = 25
• Relative change: 25 / 50 = 0.5
• Percentage difference: 0.5 * 100 = 50%

Result:

Cell C1 will display 50, which indicates a 50% increase from the old value to the new value.

Conclusion

This formula effectively calculates the percentage difference between two numbers, allowing for an easy comparison of changes in values. For further mastery of Excel functionalities, consider exploring the Enterprise DNA Platform for comprehensive courses and resources.